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A tax on tech giants’ digital services the Liberal government has promised to include in the upcoming budget has the potential to evoke retaliatory tariffs from the United States.
On March 31, the U.S. Trade Representative said in a series of documents it is considering implementing tariffs on six countries that have adopted such digital service taxes: Austria, India, Italy, Spain, Turkey and the U.K.
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“From a Canadian perspective that puts Canada, if it does move ahead, in the sights of the U.S. and facing the very real possibility of tariff retaliation,” Michael Geist, professor and Canada research chair in internet and e-commerce law at the University of Ottawa, said in an interview.
Canada could face U S tariff retaliation over proposed tax on digital services vancouversun.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from vancouversun.com Daily Mail and Mail on Sunday newspapers.
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OTTAWA (Reuters) - Canada vowed on Thursday to make Facebook Inc pay for news content, seeking allies in the media battle with tech giants and pledging not to back down if the social media platform shuts off the country’s news as it did in Australia.
FILE PHOTO: A 3D-printed Facebook logo is seen placed on a keyboard in this illustration taken March 25, 2020. REUTERS/Dado Ruvic/Illustration
Facebook blocked all Australian news content on its service over proposed legislation requiring it and Alphabet Inc’s Google to pay fees to Australian publishers for news links.
Canadian Heritage Minister Steven Guilbeault, in charge of crafting similar legislation to be unveiled in coming months, condemned Facebook’s action and said it would not deter Ottawa.
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Dado Ruvic/Reuters
Facebook’s head of public policy for Canada says the company is prepared to negotiate licensing deals with Canadian news publishers, after making a similar pledge this week in Australia.
Kevin Chan told The Globe and Mail that while the details and timing are still being worked out, the company is open to paying Canadian publishers for news that appears on its site.
Canada to Follow Australia s Lead in Making Facebook Pay for News albawaba.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from albawaba.com Daily Mail and Mail on Sunday newspapers.