Facebook to Change How Tax on Local Ads Are Paid

[engine]

Facebook is planning to change the way local ads are transacted so instead of directing money through low-tax Ireland, it'll record local advertising through their local country representatives.
"Moving to a Local Selling Model"
[newsroom.fb.com...]

We believe that moving to a local selling structure will provide more transparency to governments and policy makers around the world who have called for greater visibility over the revenue associated with locally supported sales in their countries.

We plan to implement this change throughout 2018, with the goal of completing all offices by the first half of 2019.

I'm sure this would be welcomed in the local markets and should help appease many of the critics.

[alenabrenda12]

Facebook started to get too much money from all of us... i am just hating them because they charged too much and their campaign reach is just useless

[topr8]

Obviously this is a good thing and Facebook have seen the change in the wind.

Governments are slow and ponderous to act, however they are beginning to realise the huge amounts of money that these advertising engines (aka social media companies/search properties etc) are beginning to turn over and it is only going to get more and more.

Over time laws are going to be changed, clearly the EU has already realised the mistake of allowing countries like Ireland to funnel all the money these giants make from all over europe, thereby depriving other member states of revenue. maybe if you are germany you can swollow the loss but if you are a bankrupt nation like greece, it's very frustrating to see what should be your tax revenue going to dublin.

i applaud the facebook announcement. i also think however they are smart enough to realise that if they don't volunteer this, it is only a matter of time before they are compelled. let's see if others follow suit.

long term i imagine the writing is on the wall for dublin HQ too, despite assurances to the contrary.

[engine]

I'm sure all the big businesses saw the Apple story, too, and thought they'd better work out what to do.

Apple Agrees €13 billion ($15.46) billion back taxes for Ireland [webmasterworld.com]