Poland is advancing a proposal to impose a 3% tax on digital services revenue, potentially impacting Apple and sparking tensions with the United States. The draft law aims to tax revenue from services like the App Store, Apple Music, and Apple TV, arguing that foreign companies hold an unfair advantage over domestic firms. Deputy Prime Minister Krzysztof Gawkowski stated the tax would address market distortions and fund Poland’s technological growth.

The proposed legislation targets companies with over $1.16 billion in global revenue and $6.8 million in local income. It includes exemptions for services like regulated financial platforms, direct sales via company websites, and specific communication tools. However, the broad language leaves room for debate over which services qualify, with Apple’s ad business and subscription models likely in the crosshairs.

While the U.S. criticized the initial proposal as “self-destructive,” Poland insists it seeks fair competition. The tax could strain relations with tech giants and signal a shift toward stricter digital sovereignty policies in Europe. Analysts warn that such measures might deter foreign investment while boosting domestic startups.

Apple has not yet responded. The law’s final form remains uncertain, but its passage would mark a significant test for global tech firms navigating national tax policies.