"We continue to be concerned about the potential for discrimination against non-EU companies in terms of the tax rates required to be charged and the administrative and compliance burden," said Tara Bradshaw, a spokeswoman for the U.S. Treasury, told Reuters from Washington.
The disagreement is likely to add to a series of arguments the United States and European Union are having over trade, including a row over new U.S. steel import duties.
The EU bill will cover electronic services that are downloaded or consumed online, as well as subscription-based and pay-per-view radio and TV broadcasting.
Non-EU providers in a business-to-consumer market will have to register with a VAT authority in one of the 15 member states.
That country will then distribute the taxes collected to other countries, based on where the actual sales are made. Member states will start applying the new rules in July 2003.
File: Sound Blaster Live! Audigy, version 5.12
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"We continue to be concerned about the potential for discrimination against non-EU companies in terms of the tax rates required to be charged and the administrative and compliance burden," said Tara Bradshaw, a spokeswoman for the U.S. Treasury, told Reuters from Washington.
The disagreement is likely to add to a series of arguments the United States and European Union are having over trade, including a row over new U.S. steel import duties.
The EU bill will cover electronic services that are downloaded or consumed online, as well as subscription-based and pay-per-view radio and TV broadcasting.
Non-EU providers in a business-to-consumer market will have to register with a VAT authority in one of the 15 member states.
That country will then distribute the taxes collected to other countries, based on where the actual sales are made. Member states will start applying the new rules in July 2003.