Canada withdraws digital services tax proposal amid US talks

Source: US, Canada to resume trade talks after Ottawa drops digital tax (2025-07-01)

Canada has decided to rescind its digital services tax proposal as part of ongoing negotiations with the United States to resolve trade tensions related to digital taxation. The move aims to facilitate progress in bilateral discussions and avoid escalating tariffs or trade disputes. The decision comes ahead of a key deadline set by the U.S. for Canada to eliminate its digital services tax, which Washington argues unfairly targets American tech companies. Canada’s withdrawal signals a willingness to cooperate and seek a multilateral solution to digital taxation issues, aligning with broader international efforts to establish fair and consistent tax rules for digital services.

More recent coverage

• China Leads the Charge in Manufacturing Innovation
• Teen Influencer Ethan Guo Detained in Antarctica During Solo Flight Attempt
• Rescue Efforts Underway After Bali Ferry Sinks
• Trump Announces New Trade Deal with Vietnam
• Mexico Edges Honduras in Narrow Gold Cup Semifinal
• France Bans Smoking at Parks and Beaches
• Mexico and Saudi Arabia Face Off in Exciting Gold Cup Clash
• China extends $3.4 billion commercial loans to Pakistan
• Secret US-Iran Diplomacy Unveiled