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# The tax on google---a semi thumbs-up
- URL: https://www.opendemocracy.net/en/the-tax-on-google-a-semi-thumbs-up/
- Published: 2009-05-04T17:05:49.000Z
- Updated: 2019-02-14T23:01:07.000Z
- Author: Tony Curzon Price
- Tags: #en, #Migrated, #Import 2026-04-09 19:57

The Mail has this[ interesting story](http://www.dailymail.co.uk/news/article-1176857/Tax-Google-help-BBC-say-ministers.html?ref=opendemocracy.net) about a tax proposal hatched somewhere between Andy Burnham's DMCS and Mandelson's BERR to tax internet advertising to fund the BBC. I don't like the idea of shovelling more money at the BBC---I think there are lots of others providing [public service content](https://www.opendemocracy.net/blog/economics/blog/2008/12/02/that-elusive-rusbridger-cross) who need support (like us! [Donate Here](https://www.opendemocracy.net/about/donate)!)---but I like the idea of an online advertising tax. Taxes are basically a good thing when you put a cost on something that needs some degree of discouragement. This is why a carbon tax would be good. Advertising---and especially online advertising---falls into that category. Every time an advertisment mis-sells a product, it should be counted as a pure social cost. Moreover, in a world of internet search, I do not believe that someone who is actively searching for a product actually needs advertising---searching does the job if you know what you're looking for. And if you end up buying when you don't know what you're looking for, I think that the likelihood of a mis-sell---of buying something which does not corespond to your considered desire---is very high. That suggests that online advertising, which has a high private pay-off to the advertiser, also has a high externality, or social cost. So, Mandelson: yes, go ahead and tax online advertising; but Burnham, please sort out a way to support non-BBC public service providers.