WASHINGTON, D.C. — Prime Minister Mark Carney rescinded Canada’s digital services tax (DST), a three per cent levy on digital services revenue from large domestic and foreign businesses, in June after President Donald Trump threatened to halt trade talks if the tax took effect. The repeal was a strategic move to restart stalled negotiations with the United States, which soon resumed after Carney’s announcement but were again disrupted later … by a Ronald Reagan ad. Despite removing the DST to ease tensions, Carney has little to show for it.

Still, the Cato Institute’s Adam Michel, director of tax policy studies at the Washington-based think tank, thinks that Trump did Carney and Canada a favour. He says digital service taxes hurt countries that impose them. With royal assent expected for

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