Type:Notice
Citation:86 FR 2477
Reading Time:about 3 minutes
The Office of the United States Trade Representative (USTR) has decided that Italy's Digital Services Tax (DST) is unfair and targets U.S. companies negatively, making it eligible for action under Section 301 of the Trade Act. The tax affects businesses that earn a significant amount of revenue from digital services in Italy, and the USTR believes it unfairly discriminates against U.S. digital companies and is inconsistent with international tax principles. Over 380 comments were submitted during the investigation, and further proceedings will determine what actions to take.
Simple Explanation
Italy made a tax that the U.S. thinks is unfair to American internet companies, and now some important people in the U.S. are deciding what to do about it.