Commentary: This Tax Could Tangle The Global Net

When an American downloads software from the Internet, it's almost always a tax-free transaction. That's because it's not yet clear who, if anyone, has the right under U.S. law to place levies on such sales. But such complexities don't seem to faze the Eurocrats in Brussels. If the European Commission has its way, non-European companies that sell and deliver cyberproducts online--videos, games, and music, in addition to software--will eventually join European rivals in charging customers a hefty value-added tax.

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