France’s decision to impose a 3% tax on the activity of major technology companies from the US is stupid, America is ready to fight back. The message of the President of the United States Donald trump posted on July 26 in his Twiter.
“France has introduced a digital tax on our great American technology companies. If anyone can levy withholding taxes on them, it is only my home country, USA. We will soon announce a substantial response about the stupidity of [President of France Emmanuel] Makron. I have always said that the American wine better than the French,” wrote trump.
France just put a digital tax on our great American technology companies. If anybody who taxes them, it should be their home Country, the USA. We will announce a substantial reciprocal action on Macron”s foolishness shortly. I’ve always said American wine is better than French wine! – Donald J. Trump (@realDonaldTrump) July 26, 2019
As found by the TV channel BFM TV, on the night of July 27, Makron and trump discussed the problem over the phone and agreed to continue discussion at the summit “the Big seven” in Biarritz from 24 to 26 August.
The Minister of economy and Finance of France Bruno Le Mayor said in a television interview on July 27 that the tax will not be cancelled. Fragments of the performances he posted in his Twitter. He clarified that the tax applies not only to U.S. corporations and all major technology firms, using digital data and having a turnover of more than €750 million worldwide and €25 million in France. Le Mayor said in Paris hoping for the introduction of a global “fair digital taxation”.
C’est notre’intérêt collectif de parvenir à une juste taxation du numérique dans le monde. Nous avons bien progressé avec l’accord au G7Finance. Avec @EmmanuelMacron, maintenant nous souhaitons travailler avec nos amis américains à une taxation universelle du numérique au @G7 pic.twitter.com/NwQnA2mjH9 – Bruno Le Maire (@BrunoLeMaire) July 27, 2019
Approved by the French government tax have been called GAFA – the first letters of the four largest corporations that it covers (Google, Amazon, Facebook, Apple). It is intended to prevent multinational corporations from evading taxes by establishing headquarters in EU countries with low taxes.