Canada rescinded the Digital Services Tax just hours before it was to go into effect, backing down after President Trump had ended trade talks over the issue.

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 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. US President Donald Trump on Friday canceled trade talks between the two countries,