Post by : Bianca
Haleem
Meta Platforms has announced that it will start charging advertisers a new location fee ranging from 2% to 5% to cover digital service taxes imposed by some countries.
According to a post published on the company’s website, the new fee will apply to image and video advertisements delivered across Meta platforms, including campaigns such as WhatsApp click-to-message ads and marketing messages combined with advertisements.
The change will come into effect from July 1.
Meta said the location fee is being introduced to cover digital service taxes and other government-imposed levies that apply in certain countries.
“Until now, Meta has covered these additional costs. These changes are part of Meta’s ongoing effort to respond to the evolving regulatory landscape and align with industry standards,” the company said in its statement.
The company clarified that the location fee will be determined by the location of the audience viewing the ad, not by the location of the advertiser’s business.
Meta listed six countries where the fees will apply:
-
United Kingdom – 2%
-
France – 3%
-
Italy – 3%
-
Spain – 3%
-
Austria – 5%
-
Turkey – 5%
The move follows similar steps taken by major technology companies Google and Amazon, which have also passed on the cost of digital taxes to advertisers.
Digital service taxes are charged as a percentage of revenue generated by large technology companies in individual countries. These taxes have faced criticism from the United States government, which argues that such policies unfairly target American tech firms.
English
