Austria plans 3 percent tax on internet giants' profits

Austria will introduce a tax of 3 percent of the online profits of internet giants, defined as companies with sales of more than 750 million euros (£677.7 million) a year, Austrian Chancellor Sebastian Kurz said on Thursday.

The tax will be in addition to a planned European Union digital tax, Kurz told reporters at the start of a cabinet meeting on the outskirts of Vienna, adding that no Austrian companies would be hit by the new levy.

Austria has mentioned Amazon and Facebook as companies that would have to pay the tax.