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Analysis

German Constitution Poses Another Hurdle For EU Digital Tax

By Todd Buell and Jack Schickler · June 11, 2018, 5:30 PM EDT

If German Chancellor Angela Merkel overcomes her reservations and decides to fully support the proposed European Union tax on large digital companies, she might have to change her country's constitution, according to experts.

The digital services tax proposed by the European Commission in March is a new kind of tax, legal scholars told Law360. Therefore, they said, a constitutional amendment is highly recommended, if not strictly necessary.

In March, the EU’s executive arm announced plans to tax large digital companies in an effort to move the...

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