European Commission Issues Communication on Taxation of the Digital Economy

On 21 September 2017, the European Commission announced the release of a communication on a Fair and Efficient Tax System in the European Union for the Digital Single Market. The communication provides an overview of the digitalization of the global economy and the associated challenges and inadequacies of current international tax rules, as well as approaches for a long-term strategy and possible short-term solutions.

In terms of a long-term strategy, the Commission refers to the work bei…