ITI Statement on USTR Section 301 Reports on UK, Spain, and Austria Digital Services Taxes
WASHINGTON — Today, global tech trade association ITI issued the following statement reacting to the release of Office of the U.S. Trade Representative’s (USTR) reports on its Section 301 investigations into digital services taxes adopted by the United Kingdom, Spain, and Austria:
“As in its other investigations into similar measures, USTR clearly recognizes the discriminatory aspects of the digital services taxes adopted by the UK, Spain, and Austria and is authorized by law to respond should the measures remain in place,” said Jason Oxman, ITI President and CEO. “The continued advancement and proliferation of these and other unilateral tax measures constitutes a direct threat to a functioning international tax system. As the U.S. government considers next steps, it should specify a clear plan to discourage countries from pursuing unilateral tax measures that subject U.S. companies to double taxation and undermine the ongoing multilateral negotiations to address the tax challenges of the digitalization of the global economy.”
Today’s announcement follows USTR’s January 6 release of Section 301 reports on India, Italy, and Turkey’s digital services taxes, which also found each of these measures to discriminate against U.S. companies and contravene longstanding principles of international taxation. USTR is continuing to conduct Section 301 investigations of proposed measures under consideration by Brazil, the Czech Republic, the European Union, and Indonesia.