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USTR Announces Section 301 Investigation of Digital Services Taxes

The USTR is investigating Digital Services taxes for being unreasonable or discriminatory.

Lincoln Memorial

On June 2, 2020, the United States Trade Representative (USTR) announced that they are beginning a Section 301 investigation into Digital Services Taxes (DST). Evidence suggests that these DSTs are targeted to large U.S. based tech companies.

Countries that have adopted or considering a DST are Austria, Brazil, The Czech Republic, The European Union, India, Indonesia, Italy, Spain, Turkey, and the United Kingdom.

If it is found that the DSTs are unreasonable or discriminatory and burden or restrict U.S. commerce, the USTR, Robert Lighthizer, has indicated that the US is “prepared to take all appropriate actions to defend our businesses and works against any such discrimination.”

Details of the investigation are provided in the Federal Register.

Please reach out to your local DSV Customs and Compliance representative with any questions. 

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