On September 12, ISDA, UK Finance, the Global Foreign Exchange Division and the Commodities Working Group of the Global Financial Markets Association, and the European Venues and Intermediaries Association responded to the HMRC and HM Treasury technical consultation on the UK digital services tax (DST).
The response letter highlighted that the associations welcome the government’s efforts to reform the corporate tax rules to achieve a fair tax system and to address the tax challenges arising from digitization. The signatories support the efforts to achieve a sustainable long-term solution that would involve an internationally coordinated approach through the G-7, G-20 and the Organisation for Economic Co-operation and Development, and at the same time welcome the government’s commitment to disapplying the proposed DST once an international solution is in place.
The Associations raised issues on the scope of the financial services exemption and other matters to prevent unintended consequences for the financial services industry and stressed that in the event that the government decides to proceed with the DST ahead of an international regime, it is important that the DST legislation is targeted and proportionate to fulfill its objectives.
Documents (1) for Response to HMRC and HM Treasury Technical Consultation on the UK Digital Services Tax (DST)
Latest
ISDA AGM Studio: José Manuel Campa, EBA
José Manuel Campa, chairperson of the European Banking Authority, speaks to Mark Gheerbrant, ISDA’s global head of risk and capital, about concerns over differences in timing and content of the Basel III reforms across jurisdictions and what can be done...
ISDA AGM Studio: Doug Donahue and Oliver Maxwell
Just a small delay in the delivery and receipt of a termination notice can have significant economic consequences for derivatives counterparties. Doug Donahue, partner at Linklaters, and Oliver Maxwell, product management director, platforms and regulatory compliance at S&P Global Market...
ISDA AGM Studio: Emmanuel Geinoz and Eleanor Kelly
Five jurisdictions went live with revised derivatives reporting rules in 2024, with more to follow in 2025 and beyond, putting reporting teams under extreme pressure to implement accurately and on time to avoid regulatory penalties. Emmanuel Geinoz, market infrastructure and...
ISDA AGM Studio: Tyler Wellensiek, Stephen Berger
The first phase of the Securities and Exchange Commission’s Treasury clearing mandate will come into effect in December 2026 – a requirement that will have a significant impact on both US and non-US market participants. Tyler Wellensiek, ISDA board member...