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Canada cancels digital tax to support iGaming growth
Canada has officially canceled its proposed Digital Services Tax (DST), bringing relief to iGaming companies and opening new opportunities in the growing Canadian market.
First announced back in 2020, the DST was supposed to impose a 3% tax on digital platforms’ revenue, driven by Canadian users. This would mainly target large international companies that generated profit from Canada without having a physical presence in the country.
While targeting tech giants, the tax would also affect the iGaming sector by increasing costs for both online casinos and betting platforms. Now, the cancellation comes as a major win for iGaming operators as they can focus on growth, new products, and presence expansion.
The move is especially important for international operators already active in Ontario’s regulated market, which has become a North American hub for iGaming.
Tax cancellation satisfies the U.S.
The 3% tax cancellation decision also removes the trade tensions with the U.S., which strongly opposed the tax. President Donald Trump had even threatened retaliatory tariffs.
While the global conversation on digital taxation continues, Canada’s move gives iGaming businesses a clear path to success.
FAQs
Is gambling legal in Canada?
Gambling in Canada is legal and controlled at the provincial level.
What is the legal gambling age in Canada?
The legal gambling age in most Canadian provinces is 19 years.
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