Press Room

23 Feb 2021

Dame Margaret Hodge urges the Treasury to tighten up DST


Miles Dean, Head of International Tax, comments in relation to the news that Dame Margaret Hodge has called for the Treasury to close the loophole in Digital Services Tax which allows tech giants to pass on the levy to small businesses.

This is a Treasury drafted law that was subsequently voted on and passed by parliament MPs such as Dame Hodge. They have to be honest and ask themselves who is to blame if the law in question contains glaring loopholes. It beggars belief that MPs are attempting to lay the blame at the corporate taxpayers – in this case Amazon – which presumably did not get to review the legislation in advance or vote it through.

How is Amazon avoiding its fair share if the legislation doesn’t apply to it?

Legislation has apparently been passed without those responsible fully understanding the business models of the companies they are targeting. This is careless to say the least.

To use COVID to hammer her round peg into a square hole is shameless deflection when it was the politicians’ decision to shut down the economy and play into Amazon’s hands.


Miles Dean

Miles Dean

Miles is Head of International Tax at Andersen Tax in the United Kingdom. He advises privately held multinational companies, entrepreneurs and high net worth individuals on a wide range of cross border tax issues.

Email: Miles Dean