This week, Canada's Parliamentary Budget Officer (PBO) released the "Digital Services Tax" report, which analyzes the taxation implications of the Trudeau government's efforts to tax specific online companies. The tax would target companies that offer services such as online marketplaces, advertising, media, and user data services. As currently proposed, companies with revenues exceeding $20 million would be subject to a "digital services tax" equivalent to 3% of their revenues. According to the PBO, implementing this digital services tax will generate $7.2 billion in tax revenue over the next five years. This has raised concerns among industry experts and stakeholders. The main problem is that these costs will ultimately be passed on to Canadian users of these services. For instance, many may remember the promise made by the Trudeau Liberal Government that they would not tax Netflix. However, when Prime Minister Trudeau decided to reverse...
A discussion on political, economic and social issues in British Columbia, and Canada