USTR holds hearings in Section 301 investigations of digital services taxes

Lalit K Jha
·1-min read

Washington, May 3 (PTI) The US Trade Representatives on Monday started a series of hearings against several countries, including Australia, India, Italy and United Kingdom, to look into the allegations that digital services taxes by them are harming the American companies and economy.

On Monday, the US Trade Representatives held hearings on proposed tariff actions in the Section 301 investigations of digital taxes by the United Kingdom, Italy, Spain and Australia. The hearing against Turkey is scheduled for May 7 and against India on May 10.

In a statement, USTR said the interagency Section 301 Committee will hold hearings to receive public comments regarding proposed tariff actions in the Section 301 investigations of Digital Services Taxes (DSTs) adopted by Austria, India, Italy, Spain, Turkey, and the United Kingdom.

In June 2020, the US initiated an investigation under Section 301 of the US Trade Act, 1974 against the taxation on digital services adopted or under consideration by India, Italy, Turkey, UK, Spain and Austria.

It was strongly opposed by India.

India has earlier stated that the equalisation levy is not discriminatory and only seeks to ensure a level-playing field with respect to e-commerce activities undertaken by entities with permanent establishment in India. PTI LKJ ZH ZH