The media industry asks politicians to introduce taxation for Facebook

Facebook.Social Networks in the Office.Facebook.Photo: Jan Haas / NTB scanpix

In the fight against Facebook and Google, media companies are asking  Storting to consider introducing a special tax for the international giants according to the British model.

Two thirds of the Norwegian media houses advertising revenues have disappeared in ten years, according to a report from the Norwegian Media Authority, and much of the money goes to global giants like Facebook and Google, writes Klassekampen.

In several consultation statements, the media houses have demanded equal terms of competition, and that players acting across national borders are taxed in Norway on their Norwegian revenue.

The media companies’ association (MBL) refers to the UK, which has introduced a 25 percent tax on profits transferred to companies without a real turnover.

According to MBL, it will give the British about 4 billion kroner in tax revenues this year.

Translated to Norwegian conditions, this would indicate a tax income of around 400 million kroner. Last year Facebook paid Nok 469,000 in taxes to Norway.

“We assume that it will be fully possible to introduce the same type of special tax in Norway as in the UK, which is probably bound by the same obligations and tax treaties as Norway,” says Bjørn Wisted, Head of Business Policy in MBL.

This tax boost will  largely be able to finance what the media industry wants and the Media Diversity Committee has proposed: a temporary exemption from employers’ contribution.


© NTB Scanpix / Norway Today