February 15, 2020

Mark Zuckerberg to voice support for global tax on tech giants

Mark Zuckerberg, Facebook, Coronavirus

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Facebook CEO Mark Zuckerberg is to offer public support for international tax reform which would see technology giants pay more tax in Europe.

The social network founder is due to speak at the Munich Security Conference on Saturday and meet world leaders and members of the European Commission.

He is expected to say that Facebook will support digital tax reform on a global scale under plans put forward by the Organisation for Economic Co-operation and Development (OECD).

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Zuckerberg will tell the conference that Facebook accepts the scheme “may mean we have to pay more tax”.

The plans would see digital firms, including social media platforms and other Internet companies, pay more tax in countries where they have significant consumer-facing activities and generate profits.

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The current system for taxing multinationals is based on where they are physically located, which sees Internet companies such as Facebook pay the majority of their tax in the US.

Zuckerberg is expected to say: “I understand that there’s frustration about how tech companies are taxed in Europe. We also want tax reform and I’m glad the OECD is looking at this. We want the OECD process to succeed so that we have a stable and reliable system going forward. And we accept that may mean we have to pay more tax and pay it in different places under a new framework.”

Tech Central

Vanguard News