Canada has walked back on its digital services tax “in anticipation” of a mutually beneficial comprehensive trade arrangement with the United States, Ottawa announced Sunday night, just one day before

Ottawa said Prime Minister Mark Carney and President Donald Trump had agreed to resume negotiations on a trade agreement and would aim to reach a deal by July 21.

Canada rescinded the Digital Services Tax just hours before it was to go into effect, backing down after President Trump had ended trade talks over the issue.