12 Jul 2021
Letter to the Editor: Taxation is a battle of wills between US and the EU
Miles Dean, Head of International Tax, comments in relation to the US piling pressure on the EU to drop digital tax plan, in the Financial Times.
Miles’ comments were published in the Financial Times, 12 July 2021, and can be found here.
“This was always going to happen: a battle of the wills so to speak, or a battle between the economic might of the US against the ideological and protectionist EU.
“The G7 / OECD tax plan cannot sit side by side an EU digital tax. The UK has already committed to shelving the much maligned Digital Services Tax in order to secure an exemption from the global minimum tax for financial services.
“Of course, the UK is able to make such decisions as a result of no longer being an EU member state – the EU can’t act so quickly (or commercially) so we can expect to see much muscle flexing and posturing from individual EU member states and Brussels itself in the coming weeks and months.”