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Ottawa must pass a law revoking digital service tax before it can issue refunds: CRA

Published Jul 2, 2025 at 7:55pm

The Canadian Press
By
The Canadian Press
Ottawa must pass a law revoking digital service tax before it can issue refunds: CRA

Companies that paid the now-defunct digital services tax will have to wait for Ottawa to pass new legislation before they can get their refund, the Canada Revenue Agency has confirmed.

Prime Minister Mark Carney announced late Sunday that Canada was dropping the tax on global tech giants in a bid to restart trade negotiations with the United States.

The first payment was due Monday and would have collectively cost American companies like Amazon, Google, Airbnb, Meta and Uber about US$2 billion. The tax was a three per cent levy on revenue collected by digital firms from their Canadian users and the first payment was retroactive to 2022.

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