Canada: Details of draft revised DST rules
Finance is accepting comments on the revised draft legislation until 8 September 2023.
Finance is accepting comments on the revised draft legislation until 8 September 2023.
The Department of Finance on 4 August 2023 released draft revised legislative proposals for the new 3% digital services tax (DST). Read TaxNewsFlash
The revised proposals:
- Introduce a new election that businesses can make to simplify their calculations of digital services revenues for the 2022 and 2023 calendar years
- Clarify how affected businesses can determine their amounts of in-scope revenue
- Introduce measures that apply to partnerships
Large businesses may be subject to the new DST effective 1 January 2024, on certain online revenues earned beginning 1 January 2022, if the OECD’s Pillar One approach to international tax reform has not yet become effective.
Finance is accepting comments on the revised draft legislation until 8 September 2023.
Read an August 2023 report [PDF 224 KB] prepared by the KPMG member firm in Canada
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