- US extends truce with countries imposing digital services taxes
- Deal originally brokered in 2021
- Austria, France, Italy, Spain, and UK agreed to remove DSTs upon global agreement implementation
- Original agreement expired at end of 2023
- Truce extension allows countries to continue collecting DSTs
- Excess amount collected under DSTs will be creditable against corporate income tax liability under Pillar One
- New end date for agreement is 30 June 2024
- Possibility for further extension mentioned
- Negotiations stem from US objections to DSTs
- Doubts exist about Pillar One becoming reality in near future
- Need for broad global consensus and support in US Senate for implementation of proposed treaty
Source: taxathand.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
