Digital Technology: Taxation

(asked on 29th March 2023) - View Source

Question to the HM Treasury:

To ask His Majesty's Government what plans they have to introduce a new digital services tax.


Answered by
Baroness Penn Portrait
Baroness Penn
Minister on Leave (Parliamentary Under Secretary of State)
This question was answered on 13th April 2023

The UK introduced a 2 per cent Digital Services Tax (DST) in April 2020 to ensure that providers of search engines, social media platforms, and online marketplaces pay UK tax on digital services that reflects the value they derive from UK users.

The UK remains committed to reaching a global solution on reallocation of taxing rights under Pillar One of the G20-OECD Inclusive Framework project. It has always been our intention to remove the DST once this global solution is in place.

The UK continues multi-lateral discussions to reach that global solution.

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