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COMING UP:Share Opener Variant 3

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Transcript

00:00:00
>> Facebook's problems in Europe maybe about to get another addition as the European Union has proposed new taxes on multinational Internet giants it thinks aren't paying their fair share. The short term plan is for the likes of Facebook, Amazon, Google, and others to pay a 3% tax on their transactions or sales, generating about $6 billion annually.
00:00:23
But that's expected to be followed by a sweeping long term overhaul. That would tax the company's depending on where exactly they do business as opposed to where they declare their profits. For example, some companies route their profits through countries like Ireland and Luxembourg, which have low corporate tax rates.
00:00:41
Under the new measures, they'd be hit according to where their user rates actually lays. Big countries like the US, France, and Germany. The timing comes right as Facebook deals with probes on both sides of the Atlantic over allegations that it didn't do enough to protect users' private data.
00:00:57
Europe and the US are also grappling with the prospect of a trade war. European Union still has to put the tax overhaul to a vote though. Some smaller member states argue it could make them less appealing to dot com investors.