27 October 2021

International Trade - U.S. drops tariffs in global tax overhaul

The United States has reached an agreement with Italy, Spain, France, the UK and Austria to end the threat of tariffs in exchange for the removal of digital services taxes imposed on companies like Facebook, Amazon and Google, reports ILM.

 

 

 

 

The imposed tariffs were initiated by the Trump government in retaliation to the digital services tax, which will now end in 2023.

 

1.    Siro Badon, President of Assocalzaturific, the Italian footwear association, said that international agreements favouring free trade are fundamental for Italian creative companies, who are often indirectly caught in the global political crossfire. He said: “Our products are so representative of our country that they are used as a bargaining chip for finance and fintech.”

 

 

The agreement comes alongside a pact between 130 countries this month to overhaul the international tax system and adopt a global minimum tax of 15% as well as change taxing rights so that large multinational corporations are taxed based on where their goods and services are sold, rather than where they operate.

 

 

The Office of the United States Trade Representative said Turkey and India, which also have digital services taxes that the United State. 

About APLF

We bring leather, material and fashion businesses together: an opportunity to meet and greet face to face. We bring them from all parts of the world so that they can find fresh partners, discover new customers or suppliers and keep ahead of industry developments.

 

We organise a number of trade exhibitions which focus on fashion and lifestyle: sectors that are constantly in flux, so visitors and exhibitors alike need to be constantly aware both of the changes around them and those forecast for coming seasons.

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