Taxing Tech Giants: 85% of Germans Back Ad Tax on Tech Companies Like Google and Facebook
High tax rate of 85% proposed for digital advertising corporations
Germans appear to be in favor of tech companies paying a 10% tax on their ad revenues, according to a Forsa poll. This proposal, put forward by Culture Minister Wolfram Weimer, would apply to platforms using media content.
Back in May, Weimer hinted at the government drafting a bill for a platform tax, targeting billion-dollar earners such as Google and Facebook's parent company, Meta. However, voluntary commitments were also discussed as options.
Weimer argued that large platforms were not contributing enough to society as they managed to dodge taxes through "clever tax avoidance" tactics [1][2][3]. The Internet Industry Association (Eco), though, suggested that such a tax might ultimately impact German businesses and consumers, leading to price hikes in online shopping and digital subscriptions [6].
The Forsa survey was conducted with 1007 respondents in Germany on June 4 and 5, and the statistical error margin is plus/minus three percentage points.
[1] Tax evasion concerns and social contributions[2] Influence on media and public discourse[3] Profits and minimal tax contributions in Germany[4] Opposition from the tech industry and trade tensions[5] Potential challenges for the German economy due to retaliatory measures from US[6] Increased costs on German businesses and consumers
The German public supports the 10% ad tax proposal on tech companies, as outlined by Culture Minister Wolfram Weimer. This tax, aimed at tech giants like Google and Facebook, is reportedly seen as a means to address concerns over insufficient contributions to society, specifically in areas like finance and business, often leveraged through sophisticated tax avoidance methods. However, discussions surrounding voluntary commitments and potential impact on businesses and consumers, particularly in the context of online shopping and digital subscriptions, are also being considered.
