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U.S. to Levy Tariffs Over Digital Tax, but Suspend Implementation

The U.S. said Wednesday it will impose tariffs on the U.K. and five other countries in response to their taxes on U.S. technology companies, but will suspend the levies for six months as it seeks to negotiate an international resolution.

U.S. trade representative Katherine Tai said investigations determined that tariffs were justified because of digital-services taxes imposed on U.S. companies by the U.K., Austria, India, Italy, Spain and Turkey.

She said the tariffs would be suspended while the U.S. focuses on finding “a multilateral solution to a range of key issues related to international taxation.”

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