India proposes to scrap 6% equalisation levy on digital services, government source says
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Govt proposes amendments to Finance Bill 2025, plans to remove 6% equalisation levy on online ads
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The government’s decision to withdraw the 6% equalisation levy on digital ads has triggered a fresh wave of questions and criticism. Finance Minister Nirmala Sitharaman insists the rollback is not linked to pressure from the U.S. or the ongoing global trade tensions. In her reply to the debate on Finance Bill 2025 in Rajya Sabha, she claimed the decision was part of a long-standing plan to ease compliance and align with evolving global tax norms. The withdrawal comes just as the U.S. is ramping
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