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Macron says France and U.S. reached digital tax deal

August 26, 2019
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Macron says France and U.S. reached digital tax deal
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French President Emmanuel Macron attends a joint press conference with U.S. President Donald Trump at the end of the G7 summit in Biarritz, France, August 26, 2019. REUTERS/Christian Hartmann

BIARITTZ, France (Reuters) – France and the United States have reached a deal to end a standoff over a French tax on big internet companies, French President Emmanuel Macron said on Monday.

U.S. President Donald Trump had threatened to hit back with tariff action after France passed a law earlier this year that would impose a 3% tax on revenues earned on digital services in France.

Macron told reporters that companies that pay the tax would be able to deduct the amount once a new international deal on how to tax internet companies is found next year.

“We’ve done a lot a work on the bilateral basis, we have a deal to overcome the difficulties between us,” Macron told reporters, speaking alongside U.S. President Donald Trump at the end of a G7 summit in southwestern France.

Reporting by John Irish and Michel Rose; Writing by Leigh Thomas; Editing by Geert De Clercq

Our Standards:The Thomson Reuters Trust Principles.

Credit: Source link

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