USTR initiates Section 301 investigations of Digital Services Taxes

On June 2, 2020, the United States Trade Representative (USTR) announced that his office is beginning investigations into digital services taxes that have been adopted or are being considered by a number of our trading partners. The investigations will be conducted under Section 301 of the 1974 Trade Act. This provision gives the USTR broad authority to investigate and respond to a foreign country’s action which may be unfair or discriminatory and negatively affect US Commerce. On June 5, 2020, USTR published in the Federal Register the formal notice [Docket No. USTR-2020-0022] that provides details of the investigations as well as information on how members of the public can provide their views through written submissions. The Federal Register notice states that USTR is initiating investigations with respect to Digital Services Taxes (DSTs) adopted or under consideration by Austria, Brazil, the Czech Republic, the European Union, India, Indonesia, Italy, Spain, Turkey, and the United Kingdom.


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