France is giving itself “until the summer” to “convince the Biden administration”

Otherwise, “we will have to return to a European solution” warned the Minister of the Economy.

France gives itself “until summer“To convince the future US President Joe Biden to rally to the adoption of an international tax on digital giants, French Minister of the Economy Bruno Le Maire said on Tuesday.

«We are giving ourselves until the summer of 2021 to convince our new American partner, the Biden administration, to subscribe to this taxation and to the terms defined within the framework of the OECD, otherwise we will have to come back to a solution. european», He declared during his greetings to the press.

«Everyone can see that, thanks to this crisis, the big winners are the digital giants, that it is they who made the greatest profits during this period of crisis, which makes it even more necessary, even more fair, implementation of an OECD-wide digital tax, in the coming months“, he added.

Failed negotiations under the Trump administration

France introduced in July 2019 a tax on the turnover of Gafa (Google, Amazon, Facebook, Apple) which brought in more than 400 million euros. At the same time, negotiations were initiated under the aegis of the OECD to reach an agreement on the implementation of such a tax at the international level, and according to rules acceptable to all countries.

The Trump administration, opposed to a taxation of its champions, has derailed the negotiations and threatened France with reprisals in the form of additional tariffs on iconic French products like champagne. Thursday, she finally announced to suspend their application for the moment.

Bruno Le Maire reiterated on Tuesday that the establishment of a new international tax system, in order to restore “a level playing field“, Was one of his”priorities»Since his appointment in 2017. This update by the minister comes as US sanctions on European products come into force on Tuesday, in connection with another dispute relating to state aid granted to aircraft manufacturers Airbus and Boeing.

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