India Issues Notification that New Digital Services Equalization Levy in Force

The India government has issued a notification that the country's new equalization levy for digital services is in force from 1 June 2016. The levy was introduced as part of the 2016-2017 Union Budget, and included in the Finance Act, 2016, which was enacted 14 May ({News-2016-05-24/A/4- previous coverage}). While initially only applying for online advertising services, the scope of the levy may be expanded to cover other digital service types as well.

Under the new rules, Indian resident c…