Britain’s Chancellor of Exchequer Philip Hammond has announced that tech giants like Google, Facebook and Amazon will pay more taxes of more than $500 million a year from 2020.
Announcing his annual budget on Monday, Hammond, who is the top finance and economy authority in the United Kingdom, said new sales tax, dubbed “digital services tax”, will be imposed on US technology firms from April 2020.
He said the special tax was meant to make sure “these global giants with profitable businesses in the UK pay their fair share”.
The finance minister said Britain had lost patience with ongoing international discussions for a deal on how to prevent multinational technology companies to avoid tax. He said Britain will unilaterally impose the tax on online firms that make more than £500m a year globally.
“A new global agreement is the best long-term solution. But progress is painfully slow. We cannot simply talk forever. So we will…