Canada will start applying a proposed tax on the world’s biggest technology companies this year, despite threats from American lawmakers to carry out trade reprisals against a levy that will primarily hit US firms.
Legislation to enact the digital services tax is currently before Canada’s Parliament. Once it passes, “the tax would begin to apply for calendar year 2024, with that first year covering taxable revenues earned since Jan. 1, 2022,” the Finance Department said in budget documents published Tuesday.
