Germany Takes on Tech Titans with Proposed 10% Tax

Germany's culture minister has proposed a 10% tax on tech giants like Google and Facebook to address tax evasion. The plan might strain U.S.-German trade relations pending talks. This proposal aligns with actions by other countries, despite potential retaliation by the Trump administration.


Devdiscourse News Desk | Updated: 29-05-2025 17:27 IST | Created: 29-05-2025 17:27 IST
Germany Takes on Tech Titans with Proposed 10% Tax
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Germany is setting the stage for a possible trade showdown with the United States by considering a 10% tax on large online platforms such as Google's Alphabet and Facebook's Meta. Culture Minister Wolfram Weimer revealed this plan to Stern magazine, highlighting the global tension between technology giants and regulation.

The move comes with German Chancellor Friedrich Merz preparing for potential talks in Washington with U.S. President Donald Trump. The tax proposal emphasizes the German government's stance against what Weimer calls "cunning tax evasion," urging companies for more societal contributions. Alphabet and Meta have yet to comment.

If implemented, Germany will join countries like Britain, France, and Italy in taxing these digital powerhouses. Despite previous U.S. counteractions during Trump's tenure, including inquiries into discriminatory practices and prospective tariffs, Germany appears resolute. Concerns over media power concentration, impacting free expression, have fueled the minister's call for regulations.

(With inputs from agencies.)

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