WASHINGTON, DC, JULY 11, 2024 – The Canadian American Business Council has been an active voice regarding Canada’s Digital Services Tax (DST) legislation. As we have previously stated, this legislation has significant negative implications for U.S. companies and broader trade
relations. The DST signals a lack of confidence in the multilateral process by the
Canadian Government. Its retroactive application also serves as an impediment to
investment in Canada, undermining future innovation.
The DST threatens to destabilize the trade relationship between the United States and
Canada. The U.S. House Ways and Means Committee has most recently called the
DST discriminatory and is encouraging U.S. Trade Representative Katherine Tai to
deliver a “quick and decisive response to Canada’s decision.” They’ve asked
Representative Tai to initiate an investigation under Section 301.
We strongly urge the Canadian Government to work with the U.S. and allies to avoid the
risk of retaliation and to ensure a common-sense approach that promotes our shared
prosperity.
About the CABC: Established in 1987, the Council is the leading non-profit, non-partisan, issues-oriented organization dedicated to fostering dialogue between the public and private sectors in Canada the US. Members are key business leaders and stakeholders from both sides of the border ranging from entrepreneurs to best name brands in the world. Collectively, CABC members employ about two million people and have annual revenues of close to $1.5 trillion. For more information about the CABC and its leadership team, please visit our Who We Are section.
