Canada’s Digital Tax Pay Date Looms as Trade Tensions Persist

Companies on the hook to pay Canada’s digital services tax are hoping for a last-minute reprieve in the weeks before the levy’s first payments are due.

While they are preparing to pay before a June 30 deadline, companies and their trade groups have been heaping pressure on the government to abandon, delay, or change the 3% tax on online revenue.

Inclusion of the “revenge tax” in the Republican-backed US tax bill being considered in Congress makes that request even more urgent, said David Pierce, vice president for government relations at the Canadian Chamber of Commerce. The measure—Section 899—would raise taxes ...