Think tanks support digital taxes and expect to bring over 5 billion in tax revenue to this UK government.

According to a tax policy think tank, the UK government should not cancel the digital services tax on tech companies, as it is expected to generate up to 5.2 billion in tax revenue by the end of this parliamentary term. TaxWatch stated in a report on Thursday that, with efforts to reach an international consensus on digital taxation still at an impasse, the DST may be the UK's "de facto primary solution" for taxing digital giants. The tax applies a 2% levy on tech companies with global revenues exceeding 500 million and local revenues exceeding 25 million, specifically targeting revenues from UK social media, search engines, or online marketplaces users.