Washington, DC – Internet Association Director, Trade Policy Jordan Haas issued the following statement in response to the UK government confirming in Budget 2020 that it will move forward with a 2 percent digital services tax (DST) starting in April 2020:
“It is disappointing that the UK would move forward with a discriminatory DST, which acts as a trade barrier at a time when our two countries are about to start important negotiations around a free trade agreement that should include strong digital provisions to the benefit of both economies.
“The best way forward is for governments around the world to continue engaging with the Organisation for Economic Co-operation and Development (OECD) on a global solution for the digital economy, and IA and its members are committed to working with all parties to deliver an effective outcome. Individual country initiatives like the UK DST will not help us reach global consensus. It is important that the UK follows through on its commitment to withdraw the UK Digital Services Tax once a global solution has been achieved.”