WASHINGTON, D.C. - The U.S. Chamber of Commerce and the American Chamber of Commerce in Canada (AmCham Canada) strongly object to the Parliament of Canada’s adoption of the Digital Services Tax Act, and that the Government of Canada is forging ahead with a retroactive and discriminatory digital services tax (DST) in contravention of both prevailing international tax principles and the OECD/G20 Inclusive Framework process that it has long claimed to support.
Once implemented, Canada’s DST would disproportionately harm U.S. companies, undermine digital exports, harm Canadian innovation, and contravene Canada’s obligations under both the U.S.–Mexico–Canada Agreement (USMCA) and the World Trade Organization (WTO).
At this very sensitive time in the Canada–U.S. trade relationship, we urge the Government of Canada to reconsider this unilateral and discriminatory new levy, refrain from designating its implementation, and re-join the OECD/G20-led multilateral process in recognition of the importance of a common approach to the North American marketplace.
