United States launches investigation of digital services taxes

United States investigation of digital services taxes

The Office of the U.S. Trade Representative (USTR) today announced it has initiated investigations of digital services taxes that have been adopted or are being considered by certain trading partners of the United States.

1000

Related content

According to a USTR release (June 2, 2020), the investigations will be conducted under Section 301 of the 1974 Trade Act and will focus on digital services taxes that are viewed as discriminating against U.S. companies as adopted or under consideration by:

  • Austria
  • Brazil
  • Czech Republic
  • European Union
  • India
  • Indonesia
  • Italy
  • Spain
  • Turkey
  • United Kingdom

A USTR notice [PDF 174 KB] was released for publication in the Federal Register, and provides that public comments regarding the investigations are due by July 15, 2020.

Depending on the findings of the Section 301 investigation of the subject digital services taxes, the United States could impose tariffs on imports from the various countries. The USTR previously initiated a Section 301 investigation regarding the digital services tax enacted in France, and additional tariffs were proposed by the United States but not implemented. Read TaxNewsFlash

The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained 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.

Connect with us

 

Want to do business with KPMG?

 

loading image Request for proposal