US President Donald Trump said on Friday that he was immediately suspending business talks with Canada to continue tax on technology companies. He alleged that Canada’s move is “direct and clear attack on our country”.
Trump said in a post on his social media network on Friday that Canada has informed the US that it is standing on its plan to impose tax from Monday.
The US President said, “Based on this horrific tax, we are ending all the discussions on trade with Canada with immediate effect. We will tell Canada within the next seven days how much they will pay the fee to trade with America. ”
It is necessary to pay taxes to Canadian and foreign companies joining online users in Canada under Canadian Digital Services Tax. Digital service tax will affect companies like Amazon, Google, Meta, Uber and AirBNB, as these companies will have to pay three percent tax on revenue from Canadian users. This will be applied by tax retrospective impact, allowing American companies to pay two billion US dollars by the end of the month.