US announces new delayed tariffs against six countries in response to taxes targeting large tech companies

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(CNN Business)The US authorities announced new, suspended tariffs connected Wednesday against six countries successful effect to those governments' integer services taxes, the bureau of the US Trade Representative said.

The six countries taxable to the tariffs, which are acceptable astatine 25% connected astir $2 cardinal worthy of goods, see Austria, India, Italy, Spain, Turkey and the United Kingdom. The further duties volition beryllium prevented from taking effect for up to 180 days portion the US continues negotiating connected a projected planetary taxation authorities done the Organization for Economic Co-operation and Development and the G20 process, USTR said.

Foreign governments person agelong complained that ample tech companies specified arsenic Apple, Facebook and Google should wage them much successful taxes. Some person precocious passed taxes specifically targeting gross generated by specified companies, including those based successful the US specified arsenic Facebook, Google and Amazon.

    The United Kingdom, for example, has imposed a 2% taxation connected the revenues of societal media platforms, hunt engines and online marketplaces, arguing that due to the fact that those companies nett from UK-based users, the UK deserves a stock of those gains.

      "The exertion of the existent firm taxation rules to businesses operating successful the integer system has led to a misalignment betwixt the spot wherever profits are taxed and the spot wherever worth is created," the UK authorities has said.

      The US's effect to the integer services taxes reflects its absorption to what it views arsenic discriminatory policies targeting large, palmy Silicon Valley companies with a planetary reach. In March, USTR projected an estimated $880 cardinal successful combined caller tariffs against the six countries, amid an probe of the overseas taxes nether Section 301 of the Trade Act of 1974.

        The last tariff fig affecting much than $2 cardinal of goods covers imported products including shrimp, carpets, cosmetic items, covering and video crippled consoles, among different things.

        "The United States remains committed to reaching a statement connected planetary taxation issues done the OECD and G20 processes," said US Trade Representative Katherine Tai successful a statement. "Today's actions supply clip for those negotiations to proceed to marque advancement portion maintaining the enactment of imposing tariffs nether Section 301 if warranted successful the future."

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