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posted by Fnord666 on Saturday September 05 2020, @05:23AM   Printer-friendly
from the death-and-taxes dept.

Facebook could be hit with a massive brand new tax if it moves forward with its threat to block all Australian users from sharing news on its platform. In response, Facebook threatened to ban the sharing of news which then resulted in a threat to tax Facebook for news or rather "digital transactions". The Australian government appears to have predicted Facebook's response and had draft legislation drawn up ready to respond.

On Tuesday, the social media giant said it would ban the sharing of news in Australia on Facebook and Instagram if the government pushed forward with changes that would force social media platforms to pay media companies for their content.

But it has since been revealed that such a move from Facebook could actually see the platform hit with a new tax on all digital transactions, which could cost the company millions.


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  • (Score: 5, Insightful) by Rosco P. Coltrane on Saturday September 05 2020, @06:04AM (2 children)

    by Rosco P. Coltrane (4757) on Saturday September 05 2020, @06:04AM (#1046684)

    But couldn't we just get Facebook and all the others to pay their normal taxes for starters?

    Because really, threatening them with a tax on news broadcast is just serving Rupert Murdoch's interests. I really wish the powers that be cared a bit more about serving the interests of society at large.

    • (Score: 4, Insightful) by canopic jug on Saturday September 05 2020, @10:05AM (1 child)

      by canopic jug (3949) Subscriber Badge on Saturday September 05 2020, @10:05AM (#1046728) Journal

      That would make sense if the bottom line were about income or payment. However, several interests have been wanting to turn the WWW, and the net in general, into something passive, read-only, and cable-TV like. While the policiticans and those bribing them may make a lot of noise about M$, Google, Apple, Amazon, and Facebook, the real target is the decentralized Web and especially sites like SN. They'll pretend that those are only collatoral damage but by the time any pushback can be applied all the non-giants will be off the map.

      Which reminds me, now that Julia Redia is out of full-time EU politics, are there any left paying attention to copyright, privacy, and net neutrality? It's almost like there are no watchdogs anywhere. I've only seen a single blogger cover New Developments in Digital Services – Short-(2021), medium-(2025) and long-term (2030) perspectives and the implications for the Digital Services Act [europa.eu] (warning for PDF) and even he didn't write in English for an international audience. No other sites I have seen have covered it, though in many sections the proposal gushes about how wonderful the Great Firewall of China is and that an even tighter leash can and should be put on the European segments of the Internet. Here's a sample from up at the top of the document, but the message is repeated many more times throughout the proposal:

      A European firewall/cloud/ internet would foster a digital ecosystem in Europe based on data and innovation. It would drive competition and set standards, similar to what has happened in China in the past 20 years. The foundations of such a European cloud are democratic values, transparency, competition and data protection.

      Skim through the PDF. Really. Even spot checks show that theme occurring again and again.

      Yeah, the EU is a long way away from Australia geographically, but politicially we're all in the same boat as this stuff gets copied or else pushed through in "treaties". The way Australia is trying to go with mandatory payments for hyperlinks and even quoted text are not just a dangerous assault on the Web, it worsens copyright problems significantly.

      --
      Money is not free speech. Elections should not be auctions.
      • (Score: 1) by khallow on Saturday September 05 2020, @03:10PM

        by khallow (3766) Subscriber Badge on Saturday September 05 2020, @03:10PM (#1046776) Journal

        have been wanting to turn the WWW, and the net in general, into something passive, read-only, and cable-TV like.

        And far from least, a captive revenue stream. I think I speak for everyone when I say that no government should be here to create and protect your business model.

  • (Score: 4, Interesting) by khallow on Saturday September 05 2020, @06:08AM

    by khallow (3766) Subscriber Badge on Saturday September 05 2020, @06:08AM (#1046685) Journal
    This is just a standard counterthreat. So you claim you'll do X? Well we'll do Y, if you do. Now, if Facebook's action were to result almost trivially in the above threat, such as somehow the banning of Australian news triggering existing law and regulation to generate the huge tax consequence, then that would be a genuine backfire.

    As it is, I think the Australian government is in the wrong here. It's not their job to secure rent seeking opportunities for shitty Australian media sources or punitively tax internet transactions, even when the bad guys are Facebook.
  • (Score: 3, Interesting) by c0lo on Saturday September 05 2020, @06:09AM

    by c0lo (156) Subscriber Badge on Saturday September 05 2020, @06:09AM (#1046686) Journal

    All the links point to the News Corp, which stands to gain from such laws.

    Typical bullshit [happymag.tv], as always.

    --
    https://www.youtube.com/@ProfSteveKeen https://soylentnews.org/~MichaelDavidCrawford
  • (Score: 4, Insightful) by Subsentient on Saturday September 05 2020, @06:37AM (4 children)

    by Subsentient (1111) on Saturday September 05 2020, @06:37AM (#1046692) Homepage Journal

    Pull out of Australia?
    Block all Australians from accessing Facebook, pull out of offices in the country, and watch the unwashed masses beg for their cancerous platform back.

    --
    "It is no measure of health to be well adjusted to a profoundly sick society." -Jiddu Krishnamurti
    • (Score: 2) by c0lo on Saturday September 05 2020, @08:25AM

      by c0lo (156) Subscriber Badge on Saturday September 05 2020, @08:25AM (#1046708) Journal

      Block all Australians from accessing Facebook

      I wish. Not gonna happen, tho'.

      --
      https://www.youtube.com/@ProfSteveKeen https://soylentnews.org/~MichaelDavidCrawford
    • (Score: 1, Insightful) by Anonymous Coward on Saturday September 05 2020, @10:10AM

      by Anonymous Coward on Saturday September 05 2020, @10:10AM (#1046729)

      I doubt they would be that helpful

    • (Score: 2) by Bethany.Saint on Saturday September 05 2020, @12:44PM (1 child)

      by Bethany.Saint (5900) on Saturday September 05 2020, @12:44PM (#1046739)

      Remove all corporate presence from Australia. Serve Facebook to Australia from the U.S. or another location. Problem solved?

  • (Score: 0) by Anonymous Coward on Saturday September 05 2020, @06:39AM (5 children)

    by Anonymous Coward on Saturday September 05 2020, @06:39AM (#1046693)

    Australia is a country of some 20m people. She's not China or India with billion+ populations with high economic growth potential.

    On the other hand, I don't see why they should give a rat's ass if the Fuckbook pulls out of their country - it's a blessing if anything.

    • (Score: 2, Insightful) by Anonymous Coward on Saturday September 05 2020, @01:28PM (4 children)

      by Anonymous Coward on Saturday September 05 2020, @01:28PM (#1046744)

      FB has to make sure there isn't anywhere for anything else to grow. Even if the market is small they have to be there to ward off any competing platforms.

      • (Score: 1, Interesting) by Anonymous Coward on Saturday September 05 2020, @02:44PM (3 children)

        by Anonymous Coward on Saturday September 05 2020, @02:44PM (#1046766)
        If those 20 million people then migrate to an alternative social media platform because they can't use Facebook, the network effects will spread and eventually that other platform will eat Facebook alive as quickly as they did MySpace. Those 20 million people have friends outside of Australia too, and those friends will be encouraged to migrate to that other platform if it works at least as well as Facebook does, and it lets them talk to their Australian friends too. This is also why Facebook needs to comply with regulations like the GDPR which is inimical to their business model. They cannot afford to get kicked out of anywhere where they already have a significant user base.
        • (Score: 2) by canopic jug on Saturday September 05 2020, @02:55PM

          by canopic jug (3949) Subscriber Badge on Saturday September 05 2020, @02:55PM (#1046771) Journal

          Probably but that would also depend on how much covert money is still being used to prop up Facebook. It seems every time it has started to wane or popular opinion even begins to start to sour on it, the popular press and tabloids get filled with 'articles' praising Facebook. That's something the previous sites never did.

          --
          Money is not free speech. Elections should not be auctions.
        • (Score: 0) by Anonymous Coward on Saturday September 05 2020, @08:34PM (1 child)

          by Anonymous Coward on Saturday September 05 2020, @08:34PM (#1046957)

          You seem to be arithmetically challenged.
          Try and find ONE example of AU-based Internet project outcompeting anyone on the world scale. For that matter, find an UK-based one.

          • (Score: 2) by Mykl on Monday September 07 2020, @01:51AM

            by Mykl (1112) on Monday September 07 2020, @01:51AM (#1047377)

            Try and find ONE example of AU-based Internet project outcompeting anyone on the world scale

            Atlassian (Jira and Confluence).

            [Drops mike]

  • (Score: 2) by The Vocal Minority on Saturday September 05 2020, @06:55AM (7 children)

    by The Vocal Minority (2765) on Saturday September 05 2020, @06:55AM (#1046696) Journal

    and how to you tax it?

    Sounds suspiciously like another in a long line of authoritarian bullshit the Australian government keeps throwing at internet users (surveillance, going to jail for someone posting something on your web page that the government doesn't like).

    • (Score: 3, Informative) by c0lo on Saturday September 05 2020, @08:28AM (3 children)

      by c0lo (156) Subscriber Badge on Saturday September 05 2020, @08:28AM (#1046710) Journal

      E.g. GST applied on imports, even when mediated by an electronic market place.

      --
      https://www.youtube.com/@ProfSteveKeen https://soylentnews.org/~MichaelDavidCrawford
      • (Score: 2) by The Vocal Minority on Sunday September 06 2020, @07:05AM (2 children)

        by The Vocal Minority (2765) on Sunday September 06 2020, @07:05AM (#1047133) Journal

        GST is already, theoretically, applied to imports into Australia:
        https://www.ato.gov.au/Business/GST/In-detail/Rules-for-specific-transactions/International-transactions/GST-and-imported-goods/ [ato.gov.au]
        I THINK, however, perhaps the cost of advertising on Facebook is not and this is what you are getting at (the company is offshore and hosting is offshore)? This is not explained in the media articles and attempting to enforce such a tax has some fairly serious consequences (unless of course it would only be applied to Facebook et al. which I seriously doubt).

        • (Score: 2) by c0lo on Sunday September 06 2020, @07:38AM (1 child)

          by c0lo (156) Subscriber Badge on Sunday September 06 2020, @07:38AM (#1047139) Journal

          GST is already, theoretically, applied to imports into Australia:

          Not necessarily [ato.gov.au]

          Businesses that meet the registration threshold of A$75,000 will need to:

          I.e. flea-market [wikipedia.org] transactions aren't subject to GST. But... if the govt deems Facebook marketplace [wikipedia.org] as the actual business, any second hand thingy transacted there and sold to Australia will carry a GST liability, to be paid by FB

          --
          https://www.youtube.com/@ProfSteveKeen https://soylentnews.org/~MichaelDavidCrawford
          • (Score: 2) by The Vocal Minority on Monday September 07 2020, @06:22AM

            by The Vocal Minority (2765) on Monday September 07 2020, @06:22AM (#1047467) Journal

            I'm not sure if that first link says what you think it says, but yes I was aware it is not applied to all imports (hence the "theoretically"). It seems my other supposition was incorrect however:
            https://www.ato.gov.au/Business/International-tax-for-business/GST-on-imported-services-and-digital-products/ [ato.gov.au]

            I wasn't aware of the Facebook Marketplace, being the anti-Facebook curmudgeon that I am, but that might make a little more sense. I doubt it would operate as you have suggested however, unless there is some sort of technicality which makes Facebook the merchant. That would mean that any classifieds service would then be subject to GST on the products that are sold through it. Do you have an authoritative source of your claim or are you just guessing?

            Facebook Marketplace - now doesn't that just send a chill done the spine. I can imagine being forced onto Facebook in order to be able to sell anything in the future.

    • (Score: 0) by Anonymous Coward on Saturday September 05 2020, @12:29PM (2 children)

      by Anonymous Coward on Saturday September 05 2020, @12:29PM (#1046734)

      I remember exactly one good news about Australia here and it was some Aussie guy doing something good. All the other news about Australia is the government trying to censor, tax and bully. Australia's government is what a government is not supposed to be about. Fucking disgusting.

      Note i don't care about facebook and am not knowingly part of their platform, but this affects more than facebook and is just plain wrong.

      • (Score: 1, Insightful) by Anonymous Coward on Saturday September 05 2020, @02:05PM (1 child)

        by Anonymous Coward on Saturday September 05 2020, @02:05PM (#1046749)

        Australia's government is totally subservient to US interests... Watch them, and you'll see America's future being planned and tested in vivo.

        • (Score: 0) by Anonymous Coward on Saturday September 05 2020, @06:56PM

          by Anonymous Coward on Saturday September 05 2020, @06:56PM (#1046912)

          Since you're talking about testing America's future in Australia, I believe in vitro is the appropriate phrase.

  • (Score: 2) by darkfeline on Saturday September 05 2020, @10:46PM

    by darkfeline (1030) on Saturday September 05 2020, @10:46PM (#1047016) Homepage

    Combined with the previous link tax they tried to force on Google, all this news tells me is that Australia's news media industry is both technically and financially illiterate, so if I were Australian, I'd rather the industry go bankrupt than continue on life support by taxing links.

    --
    Join the SDF Public Access UNIX System today!
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