Facebook, Google, Uber, and Amazon to take cash flow from UK tax

Moody's, Moody's, United States.

<p class = "canvas-atom-canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "The UK's finance minister Philip Hammond last week announced a new "digital services tax" on tech companies as part of Britain's annual budget "Search engines, social media platforms and online marketplaces, reflecting the value they derive from UK users." It will only be profitable in the UK."data-reactid =" 23 "> The UK's finance minister Philip Hammond last week announced a new" digital services tax "on tech companies as part of Britain's annual budget. "Search engines, social media platforms and online marketplaces, reflecting the value they derive from UK users." It will only be profitable in the UK.

Britain hopes to raise £ 1.1bn ($ 1.5bn) through the tax by 2024. It will come into force in 2020.

Moody's Senior Vice President Neil Begley and Analyst Vincent Tingos said that he would like to know more about Facebook (FB) and Google-owner Alphabet (GOOG) Amazon (AMZN) and Uber.

"The implementation of such a tax credit would be the result of a new generation of tax credits."

Moody's expects Netflix (NFLX) to avoid the cost of making money by selling services directly to consumers, rather than selling the data to customers to third parties.

Begley and Tingos said that it would be easier for other countries to adopt similar levies.

"If the UK is successful in enacting a digital services tax, it might encourage other countries in Europe or the Asia-Pacific region to impose similar taxes on their own," they wrote. "Given that these markets are far larger than the UK alone, this could have a significant effect on the Alphabet and Facebook view of their business models.

"Within the European Union, member states are already considering their own digital services if a common agreement can not be reached."