WASHINGTON,
D.C. – U.S. Senate Finance Committee Ranking Member Mike
Crapo (R-Idaho) issued the following statement regarding the Treasury
Department’s new proposal for the ongoing OECD negotiations on global taxation:
“The
best approach for resolving tax issues surrounding the digitalization of the
global economy is through a multilateral agreement at the OECD. I will not support an OECD agreement that
discriminates against U.S. businesses, or adversely affects American jobs and
investment. Treasury’s new proposed
Pillar One approach will need to be evaluated based on its potential effects on
U.S. businesses and the United States’ fiscal security.
“As
Treasury’s proposal is considered by the OECD and members of the Inclusive
Framework, I remain concerned about the continuation of discriminatory digital
services taxes (DSTs), which runs counter to the apparent progress being made
at the OECD. In light of Treasury’s
efforts to advance the OECD negotiations, countries with DSTs should cease
imposing them, and those considering DSTs, including the European Union, should
drop their proposals. Such moves by
other countries would represent a tangible sign that they are serious about
reaching an agreement, particularly as the Biden Administration proposes
significant changes to U.S. law based on the likelihood of a comprehensive OECD
agreement and implementing actions by the countries involved.”
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