Tuesday, December 16, 2025 | 12:53 PM ISTहिंदी में पढें
Business Standard
Notification Icon
userprofile IconSearch

India, US seek to futureproof trade agreement amid tax and tariff concerns

Starting April 1, India abolished the 6 per cent equalisation levy on online advertising services provided by non-resident entities, also known as Google tax

trade, FTA, United States, trade deal, Google
premium

Trump has threatened tariffs of up to 200 per cent on pharmaceuticals to push drug manufacturers to bring production back to the US

Asit Ranjan Mishra

Listen to This Article

The US is pressing India to commit to not reintroducing the so-called “Google tax”, while New Delhi is seeking protection from potential future tariffs on pharmaceutical exports as part of the ongoing trade-deal negotiations.
 
Starting April 1, India abolished the 6 per cent equalisation levy on online advertising services provided by non-resident entities, also known as Google tax.
 
The move, announced in March, was aimed at sending a positive signal to US President Donald Trump, who had threatened reciprocal tariffs on high-tariff nations. Apart from Google, the decision also benefited other US-based tech majors, such as Meta and X (formerly