The federal government announced late Sunday evening it is rescinding the digital services tax, days after U.S. President Donald Trump demanded it gone and cut off Canada-U.S. trade negotiations., Canada scrapped its digital services tax targeting U.S. technology firms late on Sunday, just hours before it was due to take effect, in a bid to advance stalled trade negotiations with the United , Canada will rescind a digital services tax – a way of taxing online companies – its government said on Sunday, in a bid to restart trade negotiations with the United States., OTTAWA — Canada scrapped its digital services tax targeting US technology firms late on Sunday, just hours before it was due to take effect, in a bid to advance stalled trade negotiations with the United States. Canadian Prime Minister Mark Carney and US President Donald J. Trump will resume trade , The government said on Sunday night that it would cancel its tax on American technology companies, handing a victory to the Trump administration., Canada rescinds digital services tax after Trump suspends trade talks Ottawa said Prime Minister Mark Carney and President Donald Trump had agreed to resume negotiations on a trade agreement and .