The Russian Ministry of Finance is considering options for the tightening of tax burden on global suppliers of digital services — such as Google, Facebook and Apple. About it writes RBC with reference to the project “the Basic directions budgetary, tax and customs-tariff policy for 2020 and the planning period of 2021 and 2022” the Ministry of Finance.
So, the Finance Ministry proposes to amend the Russian legislation to the digital, the company declared revenues to tax in the jurisdictions where their users are. According to authorities, this approach will fairly distribute taxes and prevent budget loss.
Now the global Internet companies often pay taxes on their income at the place of registration of the headquarters. Therefore, to reduce cost, many of them carry headquarters in the jurisdiction with low taxes. In Europe, the offices of Google, Facebook, Microsoft registered in Ireland, where the tax rate on income is 12.5 percent.
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