It may seem strange to some, however until now Amazon has been paying its European tax in just a single country, Luxembourg, where it manages to take advantage of the countries low tax rates.

However due to some recent pressure on Amazon from the European Commission, Amazon has this week announced that it will be paying direct taxes in some of the biggest European countries from May 1st.

These lucky countries include the UK, Germany, Italy and Spain.

This also comes after a new UK law was recently passed by the chancellor George Osbourne, nicknamed the “Google Tax” it will impose a 25 per cent levy on any domestic profits that are diverted overseas revenue.

Whilst this is good for countries, this may not be so good for the customer and could mean that prizes might be increase in order to cover the cost of the extra cost, that is if the company doesn’t decide to take on the extra expense from its own profits.

And there is still a third option, the company could also increase the charges it imposes on sellers on the site, which would likely also end sale price of products.

As Amazon’s products are already pretty low, this shouldn’t be too noticeable however.

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