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IA Leads Multi-Organization Letter Opposing Canada’s Digital Services Tax

Washington, D.C. – Today, the Internet Association partnered with ten other organizations in a letter to U.S. Treasury Secretary Janet Yellen, U.S. Trade Representative Katherine Tai, and U.S. Ambassador to Canada David Cohen requesting the U.S. formally urge Canada to stop the upcoming January 1 implementation of their unilateral, retroactive digital services tax.

“We write to express our appreciation for the leadership you have shown in working with partners around the world to reach an agreement on a two-pillar solution to bring certainty and stability to the global tax and trade system, and to share our concerns over the Canadian government’s plans to institute a unilateral, retroactive digital services tax (DST),” the letter stated. “We request that you urge your Canadian counterparts to stop the January 1, 2022 implementation of this DST, which is contrary to the spirit of the Organization for Economic Co-operation and Development’s (OECD) recent agreement and inconsistent with Canada’s trade commitments.”

IA’s letter, which you can read here, was also signed by ACT | The App Association, Chamber of Progress, Computer and Communications Industry Association, Developers Alliance, Engine, NetChoice, Silicon Valley Leadership Group, Software & Information Industry Association, TechNet, and Travel Technology Association.