Responding To An Evolving Global Tax Landscape

Over the last decade, we've seen nations start to address the tax challenges arising from the digitalization of their economies. They want to ensure that multinational enterprises conducting significant business in places where they do not have a physical presence be taxed in such jurisdictions. And, like any tax reform proposal, consensus can be hard to reach because there is so much at stake.

Look no further than the digital tax France aimed at Facebook, Google, and other American technology giants. French lawmakers voted to impose a 3% tax on revenues that companies make from providing digital services to French users. The country estimated that the tax would raise more than $500 million, helping fill a budget hole as more commerce moves online.