Consumption Tax tagged posts

Czech Republic Delays e-Book Tax Break for EU

June 20, 2017 Taxation in EU

tax breaks on e-booksBRUSSELS – Taxpayers in the EU will not be able to enjoy a tax-break on e-books until the Czech Republic lets go of a bill it is holding hostage for its own political benefit.

Late last week tensions arose among members of the EU, as the Czech Republic blocked a bill relating the taxation of e-books, as a means of lending more weight to their demands on a separate bill on a proposed VAT pilot program.

The blocked bill is intended to allow EU member countries to introduce VAT breaks for the sale of e-books.

Currently, under EU law it is possible to reduce the rate of VAT on physical books, but the breaks are not extended to their digital counterparts, creating a divide between the taxation of physical and digital books.

The Czech Republic has blocked the bill at its last stage before imp...

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Trudea Says No to Internet Tax

June 16, 2017 Taxation in Canada

Canadian internet taxOTTAWA – Plans for a tax on high-speed internet have been quickly shutdown by the Prime Minister of Canada, following a proposal for such a tax by a national heritage group.

On June 15th the Prime Minister of Canada Justin Trudeau stated that the government would not support the recent proposal to instate a tax on high-speed internet services.

The proposal was raised by the Canadian Heritage parliamentary committee, and called for a 5 percent tax to be instated on high speed internet connections.

The tax will be applied to “broadband internet providers”, but their offered basic services packages would be exempt from the tax.

Due to the targeting of the tax, it has come to be called a “Netflix Tax” as it will be more likely to impact high-end users, and not individuals who want acces...

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Weight-loss Guru Calls for Obese Taxes

May 31, 2017 Taxation in UK

Fat TaxLONDON – Clothes and air travel for obese people should be taxed, according to a controversial UK weight-loss expert.

Steve Miller, a UK television celebrity and weight-loss advocate, has come forward to advocate a new tax or surcharge to be levied on the purchase of clothing aimed at obese people.

He suggested that the charge should be applied on the purchase of clothing of size 20 and higher.

Similarly he advocated that airline seats for obese individuals should cost more.

In the past Steve Miller has called for obese healthcare staff to be required to wear badge to identify them as being fat.

Along with the tax on large clothing, the weight-loss advocate called for retail outlets which sell large clothing to provide customers with weight management advice along with their purchases.

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First Sugar Tax in US proves Successful

April 21, 2017 Taxation in USA

Sugar taxesWASHINGTON D.C – America’s first tax on soda and other sugary drinks seems to have paid off, with consumers buying fewer sugary drinks, but the level of taxes and revenues not dropping.

On April 18th the results of a new study were published in the medical journal PLOS Medicine, with an evaluation of the outcomes of the first tax on sugar sweetened beverages enacted in the USA.

In March 2015 a “penny per ounce” tax was added to the sale of sugar-sweetened beverages in the USA, a measure which saw an effective cost hike of USD 0.12 per can of drink sold, and a rise of USD 0.68 per two litre bottle sold.

The results of the study suggested that the overall sales of the drinks fell by nearly 10 percent during the course of the past year.

It was also seen that bottled water, and other untaxed...

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Saudi Arabia Comes Closer to Sugar and Tobacco Taxes

April 18, 2017 Taxation in Saudi Arabia

Energy Drinks in Saudi ArabiaRIYADH – Smokers and energy drink aficionados will soon feel the financial sting of hefty new taxes on their vices.

The Shura Council of Saudi Arabia has given its endorsement to a new selective tax measure which will see harmful substances heavily taxed.

The new taxes will apply to carbonated drinks, energy drinks, and tobacco, in an effort to curb the spread of obesity and health problems.

The taxes are also intended to raise an extra SAR 10 billion in tax revenues per year, as part of the government’s plan to close it SAR 279 billion budget gap.

Upon approval of the new measure, carbonated sold in Saudi Arabia will face a tax burden of 50 percent of the sale price, while tobacco and energy drinks will face a tax of 100 percent of the sale price.

The new tax shall now be provided to th...

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