INDEX
Monday December 16, 2017
Click tax after net neutrality
Foreign based organisations trading over the internet have a cavalier attitude towards paying things like Corporation Tax. But they need to be transparent about the number of clicks they receive since this is the basis of their business. I propose a small tax on the number of clicks originating in Britain. This could be calculated to produce the equivalent to the probable liability to Corporation Tax for an offshore business. There would be a threshold of perhaps a few million clicks so that the vast majority of businesses would not be affected. In addition to raising revenue it would also enable the reintroduction of Gaming Tax, abolished some years ago in order to defend British bookmakers against unfair competition from internet based competition. For a long time those in the know have said this was simply not practical because it conflicted with the idea of net neutrality; the principle that service providers had to connect to every web site on an equal basis. This changed in December 2017 when according to the New York Times:' The Federal Communications Commission voted...to dismantle rules regulating the businesses that connect consumers to the internet, granting broadband companies the power to potentially reshape Americans' online experiences.' The unforeseen consequence of the removal of Gaming Tax has been an explosion in the number of bookies in British shopping centres. A click tax and the return of Gaming Tax would probably stem the expansion of bookmakers' shops.
	Posted by Jonathan Brind.
In November 2018 The Economist reported on plans to have a turnover tax of tech giants. This is a poor substitute for click tax and according to The Economist, will only raise about £400m. Sainsbury alone has a business rates bill of £500m. See Economist article.
INDEX
Monday December 16, 2017