Trade

UK Considers Cutting Tech Tax for Carve-Out From Trump Tariffs

The levy is charged at 2% of the revenues derived from UK users by search engines, social media companies and online marketplaces, making it unpopular with American firms such as Google parent Alphabet, Facebook and Instagram owner Meta, and Amazon. — The levy is charged at 2% of the revenues derived from UK users by search engines, social media companies and online marketplaces, making it unpopular with American firms such as Google parent Alphabet, Facebook and Instagram owner Meta, and Amazon.
Photographer: Jason Alden/Bloomberg

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By Lucy White and Alex Wickham

March 21, 2025 at 5:33 PM UTC

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The UK government is weighing plans to reduce or even abolish its digital services tax before April 2 in an effort to avoid the worst of US President Donald Trump’s trade tariffs.