Apple faces annual EU lump sum tax under new Brussels plan

Apple Inc, the massive California phone and computer maker, and other giant tech firms may soon face a yearly tax bill in Europe under a fresh plan from the European Union. Brussels officials are pushing a modified digital tax that would charge a flat annual lump sum to all large corporations operating in the 27 EU member countries. The rules would hit any business pulling in more than €100mn in yearly revenue. The European Commission cooked up this compromise to dodge a nasty trade war with the White House after earlier digital tax plans drew fierce threats of retaliation. This new version applies to all huge companies instead of just digital service providers, which EU planners hope will keep American leaders from slapping retaliatory tariffs on European goods. Officials in Brussels still need to agree on the core principle across all 27 countries before they figure out the actual dollar amount each company will owe. This mess started rolling when a global tax agreement brokered by the Organisation for Economic Cooperation and Development fell apart after the US pulled out. If you run a business that sells goods or digital subscriptions overseas, watch out for how global tax policy shifts your bottom line. At least your accountant probably does not charge you in Euros yet. The exact fee for Apple, Google, and Meta has not been decided yet, so the tech giants are waiting to see how big of a check they will need to write to Europe.