A look at recent developments in the move to address how companies are taxed in light of the digitalisation of the economy
The economy is changing with the increasing adoption of digital technology by businesses and consumers. Digital business models (whether adopted by new or existing companies) are driving this change and these new ways of doing business are raising questions about the way businesses are taxed globally.
Creating a stable tax environment
Modernising the international tax framework in light of the increasing digitalisation of the global economy is a challenge for governments and businesses within and outside of the UK. Businesses, and the millions of customers they serve, need to have a stable and consistent framework for raising tax in a broad based and non-distorting fashion in the many jurisdictions in which they operate.
The CBI supports the need for reform to the international tax system, in particular to address the political momentum for governments to adopt unilateral measures in response to the impacts of digitalisation. These uncoordinated unilateral measures create economic distortions, reduce investment and growth and sign
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