Discussion · Government Orders
Alexis Deschênes Bloc Québécois
“Ordinary people pay taxes, but huge American tech companies avoid them. The government should not cancel the digital services tax or stop charging foreign streaming sites. That tax and those fees would bring in two billion dollars a year to support our arts and local media. The government gave up this money because it is afraid of Donald Trump, and that is not fair to taxpayers.”
“Mr. Speaker, I will be sharing my time. This is a message for all those who pay taxes, for all my fellow citizens in the Gaspé Peninsula, the Magdalen Islands, and throughout Quebec who, every morning when they go to buy a cup of coffee, pay a small portion of the taxes, and who, every Thursday when they receive their paycheque, agree to pay income tax. Why do they agree to this? They do so because they know that in society, we must contribute to the common good. Together, we put money into a common pot. Then we use it for major social programs. They also agree to pay these taxes because they remember what Benjamin Franklin, one of the illustrious Founding Fathers of the United States, said in 1789: Nothing in life is certain except death and taxes. If Benjamin Franklin, the American, were with us today, he would be surprised, because he would see that there are people for whom taxes are not a certainty. They are not immortal, but they manage to avoid paying taxes. The tech giants, these large companies, seem to be able to slip through the cracks of the tax system and rake in truly massive profits without having to pay their fair share. This is a long-standing problem, and it affects our media and cultural industries. A few years ago, the government decided to act by bringing in the digital services tax. It was not a bad idea. In fact, it was fairly modest. The tax was set at only 3%. Many pay considerably more than that. It applied only to large online streaming services making global profits of more than 750 million euros. That amounted to more than $20 million in revenues for Canada. A 3% tax was a reasonable way to ensure that the web giants paid their fair share. As La Presse noted in a 2025 article, digital services companies such as Google, Amazon, Facebook, Apple and Microsoft generally do not pay corporate income tax in foreign countries where they nevertheless generate substantial revenues from local consumers. This situation exists because they often have no physical presence in those jurisdictions. I suspect that Ben Franklin would have been angry about that. I believe that my constituents would be as well, because everyone who pays their taxes expects to see some fairness in the system. The digital services tax was intended to correct this to some extent. However, the current government decided to abolish it. Then something else happened. The Canadian Radio-television and Telecommunications Commission, or CRTC, recognized that Canadian cultural production faced a serious funding challenge and proposed increasing levies on major online platforms such as Netflix, Disney+ and Amazon Prime Video. The underlying concept makes sense: Companies that generate profits in Canada, use content created by Canadians and earn revenue from Canadian audiences would finally pony up a bit of cash that could then be reinvested in the cultural sector. Once again, however, the government said no. These U.S. tech giants can opt out of an obligation that applies to everyone else. They do not have to contribute to the public purse. This must be because they are having such a hard time. In the final quarter of 2025 alone, the tech giants netted $158 billion. That is $158 billion in a single quarter. Why, then, should we give these giant billion-dollar platforms a tax break? Why should tax fairness and justice be set aside for the benefit of the wealthiest and most powerful? I feel that people may see me as a bit of an idealist; in our society, we know that the richest and most powerful come out on top all the time. I do not agree with that. I spent 12 years as a journalist fighting injustices and 12 years as a lawyer fighting injustices. I want to do the same in politics. It is not fair that billionaire companies that use our cultural products are not paying their fair share of taxes. There is no good reason for that. However, this government has come up with one for us: the cost of living. The Liberals are telling us that we cannot ask them to pay taxes because the cost of living is high these days. We would run the risk of seeing our subscriptions to Netflix and other companies go up. If we follow that line of reasoning, why do grocery stores pay taxes? Why do consumers pay taxes at restaurants if that increases prices? The cost of living is already a major concern. Why, then, do grocery stores and restaurants pay taxes? Why are landlords taxed on their rental income when there is a housing crisis and housing costs are already too high? Why do sawmills pay taxes if that increases the price of lumber? Why do fishers in Gaspé and the Magdalen Islands pay taxes on their income if that drives up the cost of seafood? They help feed Canadians, yet prices continue to go up. That argument simply does not hold water. Moreover, if the problem were only that the argument lacked merit, that would be one thing. The reality is that the claim is not even borne out by the evidence. Similar levies have already been implemented in Europe, and they have had no impact on subscription fees. What is more, the government gave all of that up without even getting concessions from the web giants, without even saying that in exchange for not imposing levies, they would have to lower their prices. That is so ridiculous, it makes my head spin. Have we been lied to? Basically, what we have all understood is that the government is kowtowing to the Americans. The Liberals decided that the American web giants were too powerful for them and they had to roll over and let them come here and make money without paying their fair share of taxes. However, two days ago, in my riding of Îles‑de‑la‑Madeleine, I found out that residents will have to pay for parking at the airport. Charging parking fees at the local airport is like putting a toll booth on the Jacques‑Cartier bridge. Planes are essential in the Magdalen Islands. Now we are being told that everyone has to chip in and times are tough. As a result, poor taxpayers who are on welfare and need to take a plane from the Magdalen Islands to have an operation for cancer will have to pay for parking because they have to pull their weight, but not Amazon, Google, Microsoft or the other web giants. This clearly makes no sense. Behind all of this lies something quite tragic: Regional media outlets and artists are struggling. These levies would have generated significant revenue. The government is giving Americans a free pass without getting anything in return, and it is taking significant resources away from the cultural industry. The digital services tax amounts to $1.4 billion a year that could have been used to support a sector that was struggling. With all the levies, if American platforms had to pay a share, which was lower than that of Canadian broadcasters, we would have collected $2 billion a year. We know that there are regional media outlets that are suffering and that there are artists who need support, but out of fear of Donald Trump, the government has given up on social justice. Out of fear of Donald Trump, it has given up on supporting the cultural industry. What is the point of Canadian sovereignty?”
Mr. Speaker, I will be sharing my time. This is a message for all those who pay taxes, for all my fellow citizens in the Gaspé Peninsula, the Magdalen Islands, and throughout Quebec who, every morning when they go to buy a cup of coffee, pay a small portion of the taxes, and who, every Thursday when they receive their paycheque, agree to pay income tax. Why do they agree to this? They do so because they know that in society, we must contribute to the common good. Together, we put money into a common pot. Then we use it for major social programs. They also agree to pay these taxes because they remember what Benjamin Franklin, one of the illustrious Founding Fathers of the United States, said in 1789: Nothing in life is certain except death and taxes. If Benjamin Franklin, the American, were with us today, he would be surprised, because he would see that there are people for whom taxes are not a certainty. They are not immortal, but they manage to avoid paying taxes. The tech giants, these large companies, seem to be able to slip through the cracks of the tax system and rake in truly massive profits without having to pay their fair share. This is a long-standing problem, and it affects our media and cultural industries. A few years ago, the government decided to act by bringing in the digital services tax. It was not a bad idea. In fact, it was fairly modest. The tax was set at only 3%. Many pay considerably more than that. It applied only to large online streaming services making global profits of more than 750 million euros. That amounted to more than $20 million in revenues for Canada. A 3% tax was a reasonable way to ensure that the web giants paid their fair share. As La Presse noted in a 2025 article, digital services companies such as Google, Amazon, Facebook, Apple and Microsoft generally do not pay corporate income tax in foreign countries where they nevertheless generate substantial revenues from local consumers. This situation exists because they often have no physical presence in those jurisdictions. I suspect that Ben Franklin would have been angry about that. I believe that my constituents would be as well, because everyone who pays their taxes expects to see some fairness in the system. The digital services tax was intended to correct this to some extent. However, the current government decided to abolish it. Then something else happened. The Canadian Radio-television and Telecommunications Commission, or CRTC, recognized that Canadian cultural production faced a serious funding challenge and proposed increasing levies on major online platforms such as Netflix, Disney+ and Amazon Prime Video. The underlying concept makes sense: Companies that generate profits in Canada, use content created by Canadians and earn revenue from Canadian audiences would finally pony up a bit of cash that could then be reinvested in the cultural sector. Once again, however, the government said no. These U.S. tech giants can opt out of an obligation that applies to everyone else. They do not have to contribute to the public purse. This must be because they are having such a hard time. In the final quarter of 2025 alone, the tech giants netted $158 billion. That is $158 billion in a single quarter. Why, then, should we give these giant billion-dollar platforms a tax break? Why should tax fairness and justice be set aside for the benefit of the wealthiest and most powerful? I feel that people may see me as a bit of an idealist; in our society, we know that the richest and most powerful come out on top all the time. I do not agree with that. I spent 12 years as a journalist fighting injustices and 12 years as a lawyer fighting injustices. I want to do the same in politics. It is not fair that billionaire companies that use our cultural products are not paying their fair share of taxes. There is no good reason for that. However, this government has come up with one for us: the cost of living. The Liberals are telling us that we cannot ask them to pay taxes because the cost of living is high these days. We would run the risk of seeing our subscriptions to Netflix and other companies go up. If we follow that line of reasoning, why do grocery stores pay taxes? Why do consumers pay taxes at restaurants if that increases prices? The cost of living is already a major concern. Why, then, do grocery stores and restaurants pay taxes? Why are landlords taxed on their rental income when there is a housing crisis and housing costs are already too high? Why do sawmills pay taxes if that increases the price of lumber? Why do fishers in Gaspé and the Magdalen Islands pay taxes on their income if that drives up the cost of seafood? They help feed Canadians, yet prices continue to go up. That argument simply does not hold water. Moreover, if the problem were only that the argument lacked merit, that would be one thing. The reality is that the claim is not even borne out by the evidence. Similar levies have already been implemented in Europe, and they have had no impact on subscription fees. What is more, the government gave all of that up without even getting concessions from the web giants, without even saying that in exchange for not imposing levies, they would have to lower their prices. That is so ridiculous, it makes my head spin. Have we been lied to? Basically, what we have all understood is that the government is kowtowing to the Americans. The Liberals decided that the American web giants were too powerful for them and they had to roll over and let them come here and make money without paying their fair share of taxes. However, two days ago, in my riding of Îles‑de‑la‑Madeleine, I found out that residents will have to pay for parking at the airport. Charging parking fees at the local airport is like putting a toll booth on the Jacques‑Cartier bridge. Planes are essential in the Magdalen Islands. Now we are being told that everyone has to chip in and times are tough. As a result, poor taxpayers who are on welfare and need to take a plane from the Magdalen Islands to have an operation for cancer will have to pay for parking because they have to pull their weight, but not Amazon, Google, Microsoft or the other web giants. This clearly makes no sense. Behind all of this lies something quite tragic: Regional media outlets and artists are struggling. These levies would have generated significant revenue. The government is giving Americans a free pass without getting anything in return, and it is taking significant resources away from the cultural industry. The digital services tax amounts to $1.4 billion a year that could have been used to support a sector that was struggling. With all the levies, if American platforms had to pay a share, which was lower than that of Canadian broadcasters, we would have collected $2 billion a year. We know that there are regional media outlets that are suffering and that there are artists who need support, but out of fear of Donald Trump, the government has given up on social justice. Out of fear of Donald Trump, it has given up on supporting the cultural industry. What is the point of Canadian sovereignty?