EU - Group to study taxation of digital economy 

December 12: The European Commission today opened the first meeting of the “high level expert group on digital taxation” which will consider how best to tax the digital economy—particularly in light of measures to address corporate tax avoidance.

According to an EC release [PDF 73 KB], taxation needs to be re-aligned to support the growth of the digital sector, while at the same time digital companies must pay their fair share of taxes. Accordingly—

  • The expert group will identify the key problems with digital taxation from an EU perspective, and present possible solutions.
  • The EC will then develop any EU initiatives necessary to improve the tax framework for the digital sector in Europe.

It is anticipated the expert group will report back to the EC by summer 2014.

The EU, in parallel, will continue to contribute actively to the work underway at a global level in this sphere, within the context of the OECD's project on Base Erosion and Profit Shifting (BEPS), with an aim of providing a coherent and complementary approach to digital taxation at EU and international levels.

©2013 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved.

The KPMG logo and name are trademarks of KPMG International.

KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever.

The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

Direct comments, including requests for subscriptions, to
For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at:

+ 1 202 533 4366

1801 K Street NW
Washington, DC 20006.

Share this

Share this


Current and future KPMG clients may subscribe to TaxNewsFlash email alerts.

Email your contact information.

TaxNewsFlash-United States by year