The Indian government has proposed a bold move by suggesting the removal of the 6% equalization tax, commonly referred to as the “Google Tax.”
This change, if implemented, will directly benefit global tech giants like Google, Amazon, and Meta.
The equalization tax was introduced to tax foreign digital companies providing services in India.
However, with US President Donald Trump threatening to impose a reciprocal tax starting April 2, India is looking to make this adjustment.
The government plans to include the removal of this tax as an amendment to the Finance Bill 2025, which could be approved by Parliament this week.
By removing the Google Tax, India aims to ease trade tensions and offer relief to major tech companies that have been impacted by the tax.
