European Union to Tax Commercial Downloads

Jayman2 writes: "On a meeting this Tuesday the financial ministers of the European Union's member countries agreed to tax downloads from countries outside the EU. The purpose of the new rules is to close a loophole in European taxation on music and films downloaded directly over the net. In the future downloads from outside the EU will be taxed relative to the European country where the customer is located (i.e. a person from Luxemburg pays 15% sales tax on a download from the U.S., whereas a Danish person pays 25%). Companies from inside the EU pays relative to the country where it is located. The U.S. has launched a complaint about these new measures and is threatening to bring the case to the World Trade Organisation."