Home 5 News 5 The European Union and E-book Consuming

The European Union and E-book Consuming

by | Jul 12, 2017 | News

Paris, Shawqi bin Hassan,

On June 1, 2017, the European Parliament revised the law on the Value Added Tax (VAT) rate on e-books. The revision was suggested by the Economic and Monetary Affairs Committee (ECON), and called for a reduction in the standard rate of VAT, which stood at 15%, applicable to all e-book purchases and sales – almost the same rate as the electronic devices used to read them.

The new law means the VAT rate is reduced to 5%, (closer to the majority of cultural e-publications, including e-books), with a suggestion of zero VAT rate on e-books in case they were not paper-printed, to ensure that the new proposal does not become the main reason for the ‘extinction’ of printed books.

It is well-known that tax is an instrumental tool that countries use in their commercial and economic policy-making, to increase or decrease demand on certain products.

Hence, the proposal indicates that the European Union member states see e-books as a product which needs financial support. It is considered by many as e-book’s first ‘triumph’, in a bid to push consumers/readers towards e-books over printed publications, given the higher economic and environmental cost of the latter. The step may feed into a widely-spread common view that the digital world will take over the future of books and knowledge in general.

The owners of physical cultural products have consistently asked for tax concessions to protect their businesses which are faced by many threats starting with piracy and ending with a general reluctance to buy physical cultural products.

On the one hand, e-books are among the products that are the most exposed to piracy, and to protect them against such phenomenon, they have to be cheaper than printed books. On the other hand, such tax policies encourage corporates (publishing houses in this case) to invest more and more in the benefiting products.

Probably, the European Union is taking this step to adapt to the world’s changing reading habits, which were the subject of a close inspection and detailed analysis of many academic studies. If the European keenness is in the interest of popularising e-books, we are left to wonder; does this keenness have an absolute positive impact on the overall book industry?

Recent News

06Aug
Kamala Harris Reflects on ‘107 Days’

Kamala Harris Reflects on ‘107 Days’

Simon & Schuster is to publish 107 Days, the memoir by former US vice-president Kamala Harris about her campaign for the presidency in 2024.  The publisher pre-empted world, audio and first serial rights to the work from Creative Artists Agency. Jonathan Karp, CEO of Simon & Schuster, has edited the memoir along with Dawn Davis, […]

06Aug
David Grossman Breaks His Silence

David Grossman Breaks His Silence

The award-winning Israeli author David Grossman has described his country’s campaign in Gaza as a genocide and said he now “can’t help” but use the term.   “I ask myself: how did we get here?” the celebrated writer and peace activist told the Italian daily La Repubblica in an interview published on Friday.   “How […]

05Aug
Nobody Left Empty-Handed in Medina

Nobody Left Empty-Handed in Medina

As the final pages of the 2025 Medina International Book Fair turned, the city bid farewell to days alive with dialogue, discovery, and the quiet hum of turning pages. Over the course of its run, 300 publishing houses from more than 20 countries gathered beneath one roof, transforming the fair into a living crossroads of […]

Related Posts

David Grossman Breaks His Silence

David Grossman Breaks His Silence

The award-winning Israeli author David Grossman has described his country’s campaign in Gaza as a genocide and said he now “can’t help” but use the term.   “I ask myself: how did we get here?” the celebrated writer and peace activist told the Italian daily La...

Nobody Left Empty-Handed in Medina

Nobody Left Empty-Handed in Medina

As the final pages of the 2025 Medina International Book Fair turned, the city bid farewell to days alive with dialogue, discovery, and the quiet hum of turning pages. Over the course of its run, 300 publishing houses from more than 20 countries gathered beneath one...

Nobody Knew It Was There: Rare ‘Hobbit’ Found

Nobody Knew It Was There: Rare ‘Hobbit’ Found

First Edition of The Hobbit Found in House Clearance to Auction A first edition of The Hobbit is set to sell for thousands at auction - after being discovered during a routine house clearance.   The copy of JRR Tolkien's 1937 book was discovered on a bookcase at a...

Previous Next
Close
Test Caption
Test Description goes like this