Washington — The Computer & Communications Industry Association filed comments in response to Canada’s consultation regarding a digital services taxe proposed in its 2021 budget. The DST would mirror other unilateral measures pursued by European countries in the past two years.
The United States Trade Representative has investigated these digital taxes in Europe and found the taxes discriminatory against U.S. tech companies and actionable under U.S. law.
In lieu of these national measures, CCIA has supported broader global tax reform, which is nearing conclusion.
The following can be attributed to CCIA VP of Public Policy Arthur D. Sidney:
“We encourage Canada to reconsider discriminatory tax measures that depart from norms and target specific U.S. companies. Canada is a close ally and trading partner, and this tax could escalate trade tensions, which would be especially unfortunate coming off the heels of USMCA.”