Media
Trudeau’s Digital Services Tax threatens taxpayers and the economy
From the Canadian Taxpayers Federation
Author: Jay Goldberg
In other words, Trudeau is imposing a multi-billion-dollar tax on taxpayers – at a time when 50 per cent of Canadians say they’re $200 away from not being able to pay their bills.
Prime Minister Justin Trudeau managed to do two terrible things in one fell swoop: raise costs for Canadians at a time they can least afford it and risk a trade war with the United States.
The Trudeau government pushed its new Digital Services Tax through Parliament before quitting for the summer.
The government’s DST targets large foreign companies operating online marketplaces and social media platforms earning revenue from online advertising, such as Amazon, Facebook, Google and Airbnb. It is a three per cent tax on all revenue these companies generate in Canada.
Two red flags should pop up immediately for taxpayers. First, these companies won’t just eat the tax without passing costs onto consumers. And second, the United States government is sure to retaliate.
On the first point, there were clear signs that prices for Canadian consumers would increase because of this tax long before it was passed into law.
When the DST was in its proposal stage, the Parliamentary Budget Officer did an estimate of how much the government’s new tax would cost Canadians.
The PBO estimated the government’s DST would lead to an additional $7.2 billion in federal tax revenue over the next five years.
Where is that money coming from?
While major foreign companies will be the ones paying the tax directly, Canadian consumers will be hit with the bill.
It is “expected that businesses in the targeted sectors will adjust their services and prices in response to the new law,” the PBO said.
In other words, Trudeau is imposing a multi-billion-dollar tax on taxpayers – at a time when 50 per cent of Canadians say they’re $200 away from not being able to pay their bills.
Not only is Trudeau’s new DST going to increase costs for consumers, Canada also risks a trade war with the United States over the tax, which would cost Canadians even more.
In the wake of Trudeau’s DST getting through Parliament, the United States Trade Representative warned the U.S. will “do what’s necessary” to respond to the Trudeau’s new tax. USTR Katharine Tai warns she will look at “all available tools” as part of the U.S. response.
Tai’s isn’t the only voice in the U.S. calling for retaliatory action.
The Computer and Communications Industry Association, which represents tech companies like Amazon, Apple and Uber that will be targeted by Trudeau’s new tax, is calling on the Biden administration to fight back.
“With Canada’s DST now law, the time has come to announce [retaliatory] action,” said the association’s vice president, Jonathan McHale.
The president and CEO of the Tax Foundation is warning that U.S. retaliation would likely come through hiking tariffs on imports from Canada.
Given that the U.S. is by far Canada’s largest trading partner, making it more expensive to get Canadian goods into the American marketplace could have a detrimental impact on Canada’s economy, costing us both economic growth and jobs.
More than two years ago, the USTR warned against the Trudeau government taking measures that “single out American firms for taxation while effectively excluding national firms engaged in similar lines of business.”
But Trudeau chose to ignore those warnings and do exactly that.
To add insult to injury, the law authorizing the Trudeau government to bring the DST into effect (whenever it so chooses) allows it to do so retroactively, all the way back to 2022. Companies could be on the hook for huge sums for tax years in which the law didn’t even exist.
No wonder the Americans are threatening to fight back.
The bottom line is that Trudeau has put Canada in a terrible position. He is risking higher prices for Canadians and tariffs on our exports to the U.S. market, all in a lust for more cash. And the revenue the government is likely to bring in through the DST, an average of $1.4 billion a year, would be spent by this government in just one day.
It’s not too late for Trudeau to back down. Cabinet could choose not to bring the tax into force and avoid retaliation from the US.
For the good of taxpayers and the Canadian economy, Trudeau must abandon the DST.
CBS will pay Donald Trump more than $30 million to settle a lawsuit over a 2024 60 Minutes interview with Kamala Harris. The deal also includes a new rule requiring unedited transcripts of future candidate interviews.
Key Details:
- Trump will receive $16 million immediately to cover legal costs, with remaining funds earmarked for pro-conservative messaging and future causes, including his presidential library.
- CBS agreed to release full, unedited transcripts of all future presidential candidate interviews—a policy insiders are calling the “Trump Rule.”
- Trump’s lawsuit accused CBS of deceptively editing a 60 Minutes interview with Harris in 2024 to protect her ahead of the election; the FCC later obtained the full transcript after a complaint was filed.
Tonight, on a 60 Minutes election special, Vice President Kamala Harris shares her plan to strengthen the economy by investing in small businesses and the middle class. Bill Whitaker asks how she’ll fund it and get it through Congress. https://t.co/3Kyw3hgBzr pic.twitter.com/HdAmz0Zpxa
— 60 Minutes (@60Minutes) October 7, 2024
Diving Deeper:
CBS and Paramount Global have agreed to pay President Donald Trump more than $30 million to settle a lawsuit over a 2024 60 Minutes interview with then–Vice President Kamala Harris, Fox News Digital reported Tuesday. Trump accused the network of election interference, saying CBS selectively edited Harris to shield her from backlash in the final stretch of the campaign.
The settlement includes a $16 million upfront payment to cover legal expenses and other discretionary uses, including funding for Trump’s future presidential library. Additional funds—expected to push the total package well above $30 million—will support conservative-aligned messaging such as advertisements and public service announcements.
As part of the deal, CBS also agreed to a new editorial policy mandating the public release of full, unedited transcripts of any future interviews with presidential candidates. The internal nickname for the new rule is reportedly the “Trump Rule.”
Trump initially sought $20 billion in damages, citing a Face the Nation preview that aired Harris’s rambling response to a question about Israeli Prime Minister Benjamin Netanyahu. That portion of the interview was widely mocked. A more polished answer was aired separately during a primetime 60 Minutes special, prompting allegations that CBS intentionally split Harris’s answer to minimize political fallout.
The FCC later ordered CBS to release the full transcript and raw footage after a complaint was filed. The materials confirmed that both versions came from the same response—cut in half across different broadcasts.
CBS denied wrongdoing but the fallout rocked the network. 60 Minutes executive producer Bill Owens resigned in April after losing control over editorial decisions. CBS News President Wendy McMahon also stepped down in May, saying the company’s direction no longer aligned with her own.
Several CBS veterans strongly opposed any settlement. “The unanimous view at 60 Minutes is that there should be no settlement, and no money paid, because the lawsuit is complete bulls***,” one producer told Fox News Digital. Correspondent Scott Pelley had warned that settling would be “very damaging” to the network’s reputation.
The final agreement includes no admission of guilt and no direct personal payment to Trump—but it locks in a substantial cash payout and forces a new standard for transparency in how networks handle presidential interviews.
This article supplied by Troy Media.
By Kris Sims
The CBC is draining taxpayer money while Canadians tune out. It’s time to stop funding a media giant that’s become a political pawn
The CBC is a taxpayer-funded failure, and it’s time to pull the plug. Yet during the election campaign, Prime Minister Mark Carney pledged to pump another $150 million into the broadcaster, even as the CBC was covering his campaign. That’s a blatant conflict of interest, and it underlines why government-funded journalism must end.
The CBC even reported on that announcement, running a headline calling itself “underfunded.” Think about that. Imagine being a CBC employee asking Carney questions at a campaign news conference, while knowing that if he wins, your employer gets a bigger cheque. Meanwhile, Conservative Leader Pierre Poilievre has pledged to defund the CBC. The broadcaster is literally covering a story that determines its future funding—and pretending there’s no conflict.
This kind of entanglement isn’t journalism. It’s political theatre. When reporters’ paycheques depend on who wins the election, public trust is shattered.
And the rot goes even deeper. In the Throne Speech, the Carney government vowed to “protect the institutions that bring these cultures and this identity to the world, like CBC/RadioCanada.” Before the election, a federal report recommended nearly doubling the CBC’s annual funding. Former heritage minister Pascale St-Onge said Canada should match the G7 average of $62 per person per year—a move that would balloon the CBC’s budget to $2.5 billion annually. That would nearly double the CBC’s current public funding, which already exceeds $1.2 billion per year.
To put that in perspective, $2.5 billion could cover the annual grocery bill for more than 150,000 Canadian families. But Ottawa wants to shovel more cash at an organization most Canadians don’t even watch.
St-Onge also proposed expanding the CBC’s mandate to “fight disinformation,” suggesting it should play a formal role in “helping the Canadian population understand fact-based information.” The federal government says this is about countering false or misleading information online—so-called “disinformation.” But the Carney platform took it further, pledging to “fully equip” the CBC to combat disinformation so Canadians “have a news source
they know they can trust.”
That raises troubling questions. Will the CBC become an official state fact-checker? Who decides what qualifies as “disinformation”? This isn’t about journalism anymore—it’s about control.
Meanwhile, accountability is nonexistent. Despite years of public backlash over lavish executive compensation, the CBC hasn’t cleaned up its act. Former CEO Catherine Tait earned nearly half a million dollars annually. Her successor, Marie Philippe Bouchard, will rake in up to $562,700. Bonuses were scrapped after criticism—but base salaries were quietly hiked instead. Canadians struggling with inflation and rising costs are footing the bill for bloated executive pay at a broadcaster few of them even watch.
The CBC’s flagship English-language prime-time news show draws just 1.8 per cent of available viewers. That means more than 98 per cent of TV-viewing Canadians are tuning out. The public isn’t buying what the CBC is selling—but they’re being forced to pay for it anyway.
Government-funded journalism is a conflict of interest by design. The CBC is expensive, unpopular, and unaccountable. It doesn’t need more money. It needs to stand on its own—or not at all.
Kris Sims is the Alberta Director for the Canadian Taxpayers Federation
Troy Media empowers Canadian community news outlets by providing independent, insightful analysis and commentary. Our mission is to support local media in helping Canadians stay informed and engaged by delivering reliable content that strengthens community connections and deepens understanding across the country.
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