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European Union ministers fail to break digital tax deadlock

Facebook logo picture illustration made in Zenica, Bosnia and Herzegovina. [Photo: Reuters]

BRUSSELS- European Union finance ministers failed to agree a tax on digital revenues on Tuesday, despite a last minute Franco-German plan to salvage the proposal by narrowing its focus to companies like Google and Facebook.

The European Union’s executive arm proposed a 3 percent tax on big digital firms’ online revenues in March, alleging the companies funnelled profit through states with the lowest tax rates.

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