Germany’s new digital ministry has emphasized that any proposed levy on online platforms must be internationally coordinated, comply with EU law, and avoid leading to higher prices for end consumers. This position suggests internal government disagreements over a recent proposal for such a tax. The clarification follows remarks from the Minister of State for Culture, Wolfram Weimer, who revealed that officials were considering a 10% levy on platforms like Google and Facebook, though he did not specify if the tax would apply to revenue or profits.
Earlier this year, Germany’s ruling coalition agreed to examine the idea of a digital services levy, but it was not included among the government’s priority projects. Officials noted that Weimer’s suggestion had not yet been formally adopted by the administration. A digital ministry spokesperson highlighted that any levy should benefit Germany’s position as an innovation hub and be implemented in a way that avoids harming consumers.
The tax proposal comes ahead of a potential visit by Chancellor Friedrich Merz to Washington to meet with U.S. President Donald Trump. While not officially announced, such a meeting could raise diplomatic tensions, as Trump has previously opposed foreign attempts to tax American digital companies, framing them as unfair efforts to tap into the U.S. tax base.
Industry body Bitkom voiced strong concerns about the proposed levy, warning it could lead to increased prices for businesses, consumers, and public institutions. Bitkom President Ralf Wintergerst argued that the financial burden would hinder the urgently needed digital transformation of public services and companies, calling instead for fewer—not more—costs associated with digital goods and services.
