On 22 November 2021, the U.S. treasury department announced that the United States and Turkey have reached a political agreement with Turkey on the treatment of taxes on digital services (DST) in the transition period prior to the full implementation of Pillar 1 of the Organization for Economic Co-operation and Development (OECD) agreement.
According to the agreement, Turkey will remove its existing DST before the entry into force of Pillar 1 of the agreement on global taxation of the OECD. The United States and Turkey have agreed that the same terms will apply as under the Unilateral Action Compromise concluded in a previous agreement between the United States and Austria, France, Italy, Spain and the United Kingdom.
