The U.S. is preparing a round of retaliatory tariffs against six countries that have imposed taxes on U.S.-based internet companies (via Bloomberg).
New Tariffs
Six countries will be hit by tariffs that could reach as high as US$1 billion per year. This is roughly equal to the total amount each country would receive by taxing U.S. companies. The countries that would be affected are the United Kingdom, Italy, Spain, Turkey, India, and Austria.
- The USTR estimates the value of the DST payable by U.S.-based company groups to the U.K. be about US$325 million annually.
- The USTR estimates the value of the DST payable by U.S.-based firms to Italy at about US$140 million annually.
- Initial USTR estimates indicate that the value of the DST payable by U.S.-based companies to Spain will be as much as US$155 million annually.
- U.S. based companies would pay Turkey about US$160 million in taxes annually, USTR estimates show.
- The value of the DST payable by U.S. companies to India will be up to about US$55 million annually.
- The DST payable by U.S.-based companies to Austria will be up to about $45 million annually.
Documents from the U.S. Trade Representative mention potentially affected goods like cosmetics, caviar, shrimp, footwear, bamboo products, and much more.