Trump wins again! Canada announces "repeal of the digital services tax"
At the last moment before the original implementation date, Canada urgently suspended the digital services tax, a tax targeting American technology companies, in an attempt to get the trade negotiations that have been stuck with the United States back on track.
The Canadian Ministry of Finance stated in a statement that Prime Minister Mark Carney and US President Trump will restart trade negotiations, aiming to reach an agreement by July 21.
This decision comes just as the tax is about to be first implemented, affecting major technology companies such as Amazon and Google.
Trump had previously stated on Friday that due to this tax, the US would terminate all trade negotiations with Canada.
He also accused the tax of being a "direct and blatant attack" on the US and threatened to impose another round of tariffs on Canada.
On Sunday, he reiterated this statement and vowed to reset the tariff rates on Canadian goods within the coming week, once again putting the newly stabilized US-Canada relations at risk of turmoil.
The latest statement from the Ministry said that the tax, which was scheduled to start on Monday, would be suspended, and Canadian Finance Minister François-Philippe Champagne would introduce legislation to formally repeal the Digital Services Tax Act.
The statement read: "Canada announced the imposition of the digital services tax in 2020 to address the issue of large technology companies operating in Canada without paying taxes on revenue generated from Canadian users."
However, the statement also noted: "Canada has always favored achieving digital service tax agreements through multilateral mechanisms."
Original article: https://www.toutiao.com/article/1836365360900096/
Statement: This article represents the personal views of the author.