The Office of the U.S. Trade Representative (USTR) today held a public hearing with regard to the U.S. investigation of France’s digital services tax.
The French digital services tax imposes a 3% tax on annual revenues generated by certain companies providing covered digital services to, or aimed at, French users. There are thresholds for the tax to apply; it only applies for companies with annual revenues from the covered digital services of at least €750 million globally and €25 million in France. Read TaxNewsFlash
The USTR in early July 2019 initiated an investigation of France’s digital services tax under Section 301 of the Trade Act of 1974. Read TaxNewsFlash
Read a USTR notice on today’s hearing that includes a list of witnesses.
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.