Fact Check: U.S. Treasury Secretary Calls Canada's Retroactive Tax 'Patently Unfair' and Discriminatory
What We Know
The claim that the U.S. Treasury Secretary has labeled Canada's retroactive tax as "patently unfair" and "discriminatory" appears to stem from broader discussions about digital services taxes imposed by Canada on U.S. tech companies. The Canadian government has implemented a digital services tax that is retroactive, which has drawn criticism from various U.S. officials, including former President Trump, who described such taxes as a "blatant attack" on American companies (New York Times). However, there is no direct evidence that the current U.S. Treasury Secretary specifically used the terms "patently unfair" or "discriminatory" in reference to this tax.
The Canadian digital services tax, which targets revenue generated by foreign companies from online advertising and other digital services, has been a contentious issue. U.S. officials have expressed concerns that these taxes unfairly target American companies like Google and Amazon, but this does not equate to a formal statement by the Treasury Secretary using the specific language cited in the claim (New York Times).
Analysis
The claim lacks substantiation from credible sources. While it is true that U.S. officials, including Trump, have criticized Canada's digital services tax, the specific phrasing attributed to the Treasury Secretary is not found in the available reports. The absence of a direct quote or a reliable source confirming the Treasury Secretary's use of the terms "patently unfair" and "discriminatory" raises questions about the accuracy of the claim.
Moreover, the context surrounding the criticism of the tax indicates a broader sentiment among U.S. officials rather than a specific statement from the Treasury Secretary. For instance, the criticism has been part of ongoing discussions about international taxation and trade relations, particularly concerning how countries tax digital services provided by foreign entities (New York Times).
The reliability of the sources discussing these issues is mixed. The New York Times is generally considered a reputable source for economic and political news, but the claim itself does not originate from a direct statement by the Treasury Secretary, which diminishes its credibility.
Conclusion
Verdict: False. The claim that the U.S. Treasury Secretary called Canada's retroactive tax "patently unfair" and "discriminatory" is not supported by credible evidence. While there is criticism from U.S. officials regarding the tax, there is no direct attribution of the specific language to the Treasury Secretary. This lack of direct evidence and the context of broader criticisms indicate that the claim is inaccurate.
