E-commerce in the crosshairs at WTO in digital taxes battle
India opposes renewing the WTO moratorium on digital trade tariffs, while developed countries push for permanence to protect $0.68 billion in annual customs revenue, OECD says.
- On Thursday, World Trade Organization ministers gathered in Yaounde to debate the digital trade moratorium, set to expire March 31. India's commerce minister Piyush Goyal said "the continued extension of this moratorium warrants careful reconsideration."
- Since 1998, the WTO has maintained a temporary moratorium prohibiting customs duties on electronic transmissions. This policy ensures no taxes apply to digital goods, including software, online courses, and telemedicine, facilitating global internet commerce.
- The United States, seeking a permanent moratorium, argues it provides stability for traders. The OECD study found the potential budgetary impact is limited, "amounting to, on average, 0.68 percent of total customs revenue or 0.1 percent of total government revenue."
- India remains the only country vocally opposing the renewal, while The African, Caribbean and Pacific Group of States proposes a short-term extension. A Western diplomatic source told AFP, "There is only one country that's been vocally not supporting."
- Trade Representative Jamieson Greer said Thursday that The United States is "not interested in another temporary extension." To limit opposition, The United States under President Donald Trump negotiated specific clauses in bilateral agreements, notably with Indonesia.
19 Articles
19 Articles
India Reconsiders Stance on E-Commerce Tariffs Moratorium
India Reconsiders Stance on E-Commerce Tariffs Moratorium India is reportedly reconsidering its opposition to the continuation of a global moratorium on tariffs for electronic transmissions, including digital downloads and streaming. According to senior diplomats, India may agree to extend the agreement for two years, marking a shift ahead of a key World Trade Organization (WTO) meeting.Commerce Minister Piyush Goyal expressed doubts about the U…
E-commerce in the crosshairs at WTO in digital taxes battle
The future of digital taxes is dividing countries at the World Trade Organization, with the moratorium that has prohibited customs duties on electronic transmissions since 1998 front and centre in the debate.
At the ministerial conference of the World Trade Organisation in Yaoundé, the future of digital taxes divides states, with at the center of the debate the moratorium which has prohibited since 1998 the imposition of customs duties on electronic transmissions. This moratorium is due in particular to the fact that...
Tariffs on digital services?: E-commerce in the crosshairs at WTO in digital taxes battle
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