Canada cuts off the tax on digital services after cutting off trade calls in the USA


US President Donald Trump is welcomed by the Prime Minister of Canada Mark Carney when he arrives at the top of the G7 leaders in Kananaskis, Albert, Canada on June 16, 2025.

Stefan Rousseau By Reuters

Canada returned to tax on digital services “in anticipation” of mutually favorable comprehensive trade agreement with the United States, he announced on Sunday evening.

This movement will take place after US President Donald Trump Announced on the weekend that he will “end all discussions about trade Canada“In response to Ottawa's decision to impose Digital services tax About American technology companies.

“Today's announcement supports the resumption of negotiations compared to July 21, 2025. The time of the time specified at the top of the G7 leaders in Kananascis,” said Mark Carney Prime Minister in a statement.

This decision of Ottawa was about the return of Canadian officials at the beginning of this month who said they said would not stop tax on digital servicesDespite the strong opposition of the United States

Canada The Minister of Finance and National Revenues Francois-Shippe Champagne added: “Removing tax on digital services will allow negotiations of new economic relations and security with the United States to achieve important progress and strengthen our work to create jobs and build prosperity for all Canadians.”

However, the statement of the Canadian Ministry of Finance was also found that Carney “was clear that Canada would take as long as necessary, but not to achieve this contract.”

The first payments from Canadian tax on digital services, which was adopted last year and applies with retrograde power by 2022, were initially collected on Monday.

The tax would apply to both domestic and foreign technology companies, including American giants such as AmazonIN Google AND Finish with 3% fee.

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