Canada Scraps Digital Tax After Trump Threat | JQJO

Canada has canceled its planned digital services tax on US tech companies following President Trump's condemnation of the levy as a "direct and blatant attack." The tax, set to impose a 3% levy on companies like Amazon and Google, was slated to take effect Monday. Trump threatened tariffs on Canadian goods in response, prompting a halt to trade negotiations. However, after a phone call between Trump and Prime Minister Carney, Canada rescinded the tax to resume trade talks before a July 21 deadline.