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The European Commission is considering revising a proposed levy on large companies operating in the European Union in a bid to raise more money from U.S. technology groups without explicitly targeting them, the Financial Times reported on Wednesday, October 7. The reported discussions center on expanding the scope of the planned Corporate Resource for Europe, or CORE, contribution to cover a wider range of large businesses.
The proposal could affect groups such as Apple, Meta and Google, Reuters reported, citing the FT’s account of discussions with six officials. The move would seek to increase EU revenue while limiting the risk of a direct confrontation with the Trump administration, which has threatened retaliation against countries imposing digital services taxes on American companies.
A broader levy under consideration
Under CORE as outlined in the Commission’s existing proposal, companies operating and selling in the EU with annual net turnover above €100 million would make an annual lump-sum contribution. The current structure sets payments between €100,000 and €750,000, according to Reuters’ report on the FT story.
The FT reported that officials were considering changes intended to apply the contribution broadly across large companies rather than singling out digital businesses. An EU official cited by the newspaper said some member-state governments oppose a digital-only tax because they do not want to provoke Washington, while others object to CORE in its current form. Reuters said it could not independently verify the FT report.
The proposed design differs from a tax calculated as a percentage of a company’s digital-services revenue. CORE would apply to companies above a turnover threshold and charge a fixed amount tied to their size. A wider base could bring large technology groups within its reach while also covering major firms in other industries.
Part of the EU’s next budget plan
The Commission presented CORE in 2025 as one of several proposed new sources of revenue for the EU budget covering 2028 to 2034. In its supporting documents, the Commission estimated that the contribution could generate an average of €6.8 billion annually over that seven-year budget period.
The Commission’s proposal describes CORE as an annual contribution based on company turnover, with businesses below the €100 million threshold excluded. The planned income would be an EU budget resource; the EU’s long-term budget proposal includes multiple new revenue sources, not CORE alone.
The Commission has said the broader budget package is intended to finance EU priorities in the next spending cycle. CORE’s proposed role is to make large companies active in the single market contribute directly to the bloc’s shared budget. The proposal remains subject to negotiations and approval by member states; it is not an enacted levy.
Trade tensions shape the approach
The effort comes amid continuing U.S.-EU friction over the treatment of American technology companies. Reuters reported that President Donald Trump threatened in June to impose a 100% tariff on goods from any country that levies a digital services tax on U.S. companies.
The U.S. Trade Representative’s office has argued that digital taxes discriminate against American businesses, which account for a large share of the global sector. A broad corporate contribution could avoid defining the charge specifically around digital services, although the reported discussions do not establish how U.S. officials or affected companies would assess a revised proposal.
Reuters said the European Commission, Apple, Google, Meta and the Computer & Communications Industry Association, which represents technology companies, did not immediately respond to requests for comment outside regular business hours. The report did not identify a final design, a timetable for any changes or a formal Commission decision to revise CORE.
Approval and details remain unresolved
The central question is whether member states can agree on a new EU revenue source as they negotiate the 2028–2034 budget. The Council of the EU’s published budget outline lists CORE among the Commission’s proposed new resources and notes that negotiations are continuing; a political agreement on the full long-term budget remains ahead.
For now, the reported broadening is a possibility under discussion, not a settled policy. The Commission’s published proposal provides the current threshold and payment structure, but Reuters’ account of the FT report does not specify what revised contribution levels might be, which companies would pay more, or when a final decision could be made.
