The Future of Tax in a Digital Economy | IPT
Chair: Peter Dowd MP, Shadow Chief Secretary to the Treasury
Speaker: Dr Giorgia Maffini, Tax Policy and Transfer Pricing, PwC
Speaker: Andrew Harding FCMA CGMA, Chief Executive Officer of Management Accounting, Chartered Institute of Management Accountants
Breakfast Meeting

Date:

Tuesday 30 April 2019

Venue:

House of Commons

Start Time:

08:30

End Time:

09:30

Commerce in the United Kingdom is increasingly digital, but the existing tax regime is based on the traditional approach of taxing businesses where they have a physical presence.  In the 2018 Budget, the Chancellor announced plans for a 2% Digital Services Tax on revenues aimed at search engines, social media platforms and online marketplaces; the Treasury estimates this will raise £1.5 billion in revenue. It is intended to be a temporary measure as the United Kingdom undertakes a much wider reform of digital taxation. However, the digital economy is more than just technology firms and is growing. For example, as manufacturing begins to use interlinked digital components, the Internet of Things transforms industries and the collection of data and online advertising increases. As the economy evolves, what does a fair and coherent tax system fit for the 21st Century look like? 

This breakfast meeting will: 

  • Review the existing tax framework and how this could evolve to meet an increasingly digital economy, including the Government’s proposed work with the Organisation for Economic Co-operation and Development and consumption-based taxation 
  • Consider the opportunities presented by new technologies, such as Blockchain, to drive an innovative tax system 
  • Explore how the Government can support businesses, particularly SMEs, through the planning and implementation of future systems.