DNPA urges government to reconsider Equalisation Levy on foreign digital companies

The Digital News Publishers Association (DNPA) has written to Union Minister of Information and Broadcasting, and Electronics and Information Technology Ashwani Vaishnaw, requesting a review of the withdrawal of the 6% Equalisation Levy that was earlier imposed on foreign digital entities operating in India.

In a representation, signed by Chairperson Mariam Mammen Mathew, DNPA stated, "The said levy, when introduced, was a recognition of the need for balance and fairness between Indian businesses, including domestic digital publishers, and global technology platforms deriving substantial benefit from the Indian market. Its subsequent withdrawal, as part of the easing of trade considerations between India and the United States, has had an unintended effect on the competitive environment faced by Indian digital publishers."

The association acknowledged India’s commitments under the OECD/G20 Inclusive Framework but pointed out that several countries, including France, the United Kingdom, Italy, and Spain, have continued with Digital Services Taxes until global tax reforms are finalised.

"In this context, we respectfully submit that a review of the Indian position may kindly be undertaken, to ensure that the interests of domestic digital publishers are not adversely impacted during this transition period," the letter added.

Reiterating its alignment with the government’s Make in India and Atmanirbhar Bharat vision, DNPA said it was confident that the issue would receive due consideration.

"We remain confident that under your leadership, due consideration will be extended to this issue in a manner that best serves the national interest as well as the growth of Indian digital media," the association stated.