German govt initiates legislation against tax evasion via online retailers
Germany’s government on Wednesday initiated legislation that would make online retailers liable for sales tax that isn’t paid by vendors based outside the country, AP reported. The cabinet approved the bill, which requires parliamentary approval and is slated to take effect from January 1. It aims to prevent tax evasion by vendors using online marketplaces such as Amazon and eBay. According to Germany’s Finance Ministry, foreign-based companies that aren’t registered for tax in Germany frequently fail to pay sales tax on revenue generated from sales in the country via online platforms.