U.S. and India Reach Compromise on India's Equalization Levy

The U.S. Department of the Treasury has announced an agreement with India regarding a transition from India's existing 2% Equalization Levy on e-commerce supplies to the new multilateral solution agreed to under Pillar 1 of the OECD's two-pillar solution for reforms to the international tax framework. The two sides have agreed that the same terms agreed to earlier by the U.S. with Austria, France, Italy, Spain, and the UK will apply with respect to India's Equalization Levy. The terms of the…