101 countries, including Canada, are considering or have levied a global digital services tax (GST/VAT), which will mostly affect US tech companies.
A Digital Services Tax (DST) is a gross-revenue levy imposed by various countries on large tech companies. It specifically targets income from digital operations—such as targeted advertising, digital marketplaces, and user data—rather than standard corporate profits.
President Trump addressed it on TruthSocial:
Numerous European Countries have been discussing the imminent implementation of a Digital Services Tax on American Companies. Some of these Countries are close to actually doing this. Please let this statement serve to represent that any Country that imposes such a Tax will immediately be met with a 100% TARIFF on any and all Goods sent to the United States of America. This TARIFF will supersede Trade Deals made with the Country, whether implemented, signed, or not. Additionally, the 100% TARIFF will be immediately imposed if they proceed. Thank you for your attention to this matter. President DONALD J. TRUMP
The DST is a global tax that primarily affects the United States. If left unanswered, it will keep expanding if the past is prologue.
Americans fear they will pay the tariff. Buy American as much as possible. Trump is banking on working out a deal, not keeping a 100% tariff.
