This way, it aims to shift the balance between spending online and in physical stores
UK Treasury aims for online sales tax. Source: pexels.com
The Treasury, the UK’s economic and finance ministry, is exploring options for an online sales tax, Ecommerce News reports.
The report reveals that there’s a massive boost in e-commerce in the country, which is nice for online shops, but not so good for physical retailers. The coronacrisis has accelerated the closure of retail outlets across the UK.
This has led to the Treasury weighing the options to introduce an online sales tax. ?The idea behind this plan is that levying taxes on online shopping could help stop the collapse of the British high street.
Nevertheless, not everyone is looking forward to an e-commerce tax. For instance, the British Retail Consortium says it would high omnichannel players and that it would result in higher costs for shoppers, at a time the British economy is already weak.
We’ve reported that the pandemic forced UK SMEs to be more reliant on digital services.
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