On November 24, 2021, in a press release, the United States (US) Department of the Treasury, together with India, announced an agreement on the treatment of Digital Services Taxes (DSTs) before the full implementation of Pillar 1 of the Organization for Economic Co-Operation and Development (OECD) agreement.
India has agreed to a transition plan “from the existing India equalization levy to the new multilateral solution” and has committed to continuing discussions “through constructive dialogue” with the US. This agreement also allows for the termination of the Section 301 measures adopted in response to India’s DST procedures.
The Treasury’s press release can be found here:
https://home.treasury.gov/news/press-releases/jy0504
The Office of the US Trade Representative’s (USTR) press release can be found here:
