Tax deduction change would boost ad revenue $250-$450M: Friends

Media | 01/23/2017 9:24 pm EST

Removing tax deductions for advertising on non-Canadian online media outlets could help the beleaguered local media and news sectors, while saving the government money, according to a new paper from watchdog group Friends of Canadian Broadcasting. The Income Tax Act eliminates or limits the “deductibility of advertising expenses on foreign newspapers, periodicals and broadcasters, hence providing a material incentive for advertisers to choose Canadian alternatives,” but advertising expenses on foreign Internet-delivered media are fully tax deductible, the report...