Fine Gael MEP Regina Doherty has praised clarity from EU Commissioner Michael McGrath, confirming the EU won’t proceed with a Digital Services Tax.
The EU will instead stay aligned with the global OECD deal.
Doherty said, “this clarity is good news for investment, jobs, and the wider economy. Global challenges demand global solutions, not fragmented unilateral taxes that risk driving investment away.”
“Europe already has plenty of taxes. The answer isn’t to invent new ones, it’s to make sure the ones we have work fairly, efficiently, and without choking investment. At a time of economic uncertainty, with families and businesses already under pressure, the last thing Europe needs is higher costs being passed on to consumers through a new digital tax.”
The Fine Gael MEP said “taxation should support competitiveness, job creation and growth. If it does not do this, then it is not serving the common good. A stand-alone EU digital tax would do the opposite, undermining certainty, fragmenting the global economy, and adding to costs at a time when people can least afford it.”
“Ireland and Europe must stand firm behind the OECD agreement. Walking away would make a bad situation worse. We need policies that strengthen investment and opportunity, not short-term measures that drive jobs and innovation elsewhere.”