USTR Proceeds to Public Comments on Tariff Retaliation for DSTs
The Office of the U.S. Trade Representative is asking for public comments on trade actions for retaliatory tariffs on Austria, India, Italy, Spain, Turkey and the United Kingdom related to their digital services taxes, to preserve options before the statutory one-year time period for completing a Section 301 investigation. “The United States is committed to working with its trading partners to resolve its concerns with digital services taxes, and to addressing broader issues of international taxation,” USTR Katherine Tai said. “The United States remains committed to reaching an international consensus through the OECD process on international tax issues. However, until such a consensus is reached, we will maintain our options under the Section 301 process, including, if necessary, the imposition of tariffs.”
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The office is terminating the investigations into Brazil, Indonesia, the Czech Republic and the European Union, because the EU and the other countries did not adopt digital services taxes. The March 26 press release said that if any do pass such laws, a new investigation may begin in each case.