India is proposing to withdraw its version of a digital services tax on non-resident e-commerce operators in the federal 2024-25 budget released Tuesday.
India’s so-called equalization levy, which imposes a 2% tax on the sale of digital goods and services, would be withdrawn after Aug. 1 under the Finance Bill Finance Minister Nirmala Sitharaman introduced in parliament.
India hasn’t said it plans to withdraw a second equalization levy that taxes online advertisement revenue at 6%.
“Its a positive development,” said Ashish Aggarwal, vice president and head of public policy at the National Association of Software and Service Companies (Nasscom), ...
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