Canada canceled its digital services tax aimed at American tech companies just hours before its scheduled start on Monday, aiming to restart stalled trade talks with U.S. President Donald Trump.
President Trump and Canadian Prime Minister Mark Carney will restart negotiations to reach a trade agreement by July 21, according to a Sunday statement from Canada’s finance ministry.
Reuters:
Trump abruptly called off trade talks on Friday over Canada’s digital services tax, saying it was a “blatant attack.”
He reiterated his comments on Sunday, pledging to set a new tariff rate on Canadian goods within the next week, which threatened to push U.S.-Canada relations back into chaos after a period of relative calm.Canada’s planned digital tax was 3% of the digital services revenue a firm takes in from Canadian users above $20 million in a calendar year, and payments were to be retroactive to 2022.
It would have impacted U.S. technology firms, including Amazon.com, Meta, Alphabet’s Google, and Apple.
The tax collection slated for Monday will be halted, the statement from Canada’s finance ministry said. Finance Minister Francois-Philippe Champagne will bring forward legislation to rescind the Digital Services Tax Act.
“Thank you Canada for removing your Digital Services Tax which was intended to stifle American innovation and would have been a deal breaker for any trade deal with America,” U.S. Commerce Secretary Howard Lutnick responded in a post on X.
MacDailyNews Take: Well, that didn’t take long.
“Canada is now forced to rethink its program of theft from American companies.” – MacDailyNews, June 27, 2025
See also: President Trump ends trade talks with Canada, threatens to set tariff over digital services tax – June 27, 2025
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“Blatant theft”. lol
Trump is a convicted felon…
The line Trump likes to repeat is the 400% tariff imposed on usa dairy farmers by Canada, more truth twisting by Trump.
There is a 400% tariff only after hitting a certain high threshold, such a tariff has never been imposed, but the convicted felon keeps repeating the lie.
Wise up america.
Canadian tariffs on US imports to Canada before Trump:
Butter – 298%
Milk – 270%
Cheese – 245%
Sausage – 69.9%
Barley Seed – 57.8%
Durum wheat – 49%
Bovine/Meat – 26.5%
also he negotiated that deal.
Trumps tariff lies are going to hurt how many Americans.
“If you like your doctor, you can keep your doctor.”
“If you like your plan, you can keep your plan.”
– Obama
“We have to pass the bill so that you can find out what is in it…”
– Pelosi
While Obama’s fraudulent lies hurt hundreds of millions of Americans.
The “dairy folks” disagree a bit with you. The numbers and effect is different.
https://www.idfa.org/news/idfa-statement-on-potential-u-s-tariff-on-canadian-dairy-products
Are you suffering from The Syndrome?
Canadian here…Pretty sad when Trump has to pressure our failed PM to do the right thing.