Spain proposes a digital services tax

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May 2018

Overview

The Spanish Minister of Finance announced the week of April 30 that the government will propose to Parliament a new digital services tax (DST) that would align with the draft EU Directive presented by the European Commission (EC) on March 21. The government’s aim is for the new tax to be in force before the end of 2018.

The takeaway

This announcement follows a trend of unilateral measures taken by countries around the world in response to digitalization and globalization. Multinational enterprises with operations in Spain, particularly those relying on digital interaction, should consider the potential impact of the proposed DST on their current and future service offerings. 

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Carlos Concha

Partner, PwC US

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