A newly unveil Gallic revenue enhancement proposal targets American internet ship’s company like Amazon , a company infamous for pay zero federal taxes in the United States on multibillion - buck annual net .
The Gallic marriage proposal promises to end tax dodging at a clock time when Silicon Valley ’s revenue enhancement praxis andtax turning away schemesare come under a close microscope around the humankind . The issue is particularly affecting in France , where “ yellow vest ” protests have long demand fairer tax revenue .
The Gallic flyer put up a stark contrast to the technical school industry ’s reality in the United States . Amazon paid zero federal taxis on its $ 11.2 billion in 2018 profits , accordingto a recent analysis by the Institute for Taxation and Economic Policy . The company , which regularly switch places with others from Silicon Valley to be among the most valuable corporations on Earth , also pay a negative federal tax rate in 2017 , according to the ITEP .
Amazon did not reply to a request for comment .
The French proposal , which place 30 entire firms , is another trial run of Silicon Valley ’s considerable great power in Europe where they pass millions of Euros every class to give doors and determine the continent ’s lawmakers . Last year , aEuropean Union - encompassing proposalto revenue enhancement tech whale failed due to opposition around the continent despite support from France .
“ tax digital giants is a matter of financial justice , ” French Finance Minister Bruno Le Maire twinge .
Taxer LE géants du numérique est une question de justness fiscale . Un projet de loi sera présenté mercredi . Retrouvez le projet détaillé du gouvernement et mon interview dans@le_Parisien ➡ ️https://t.co / zjtE1nYDWFpic.twitter.com / vDebhE9eD9
— Bruno Le Maire ( @BrunoLeMaire)March 3 , 2019
Securing beneficial tax mint in the U.S. is one of Amazon ’s most high - profile and contentious practice session . In January , Amazonabandoned plansto construct a “ headquarters ” in New York City after shrill unfavorable judgment for mysterious flock - making and jillion in state and urban center taxation breaks . Last week , the company abandoned plan for aSeattledevelopment after opposing a “ brain revenue enhancement ” on big businesses to bear homelessness services and low-cost housing .
The call from Europe to tax tech giants is hardly limited to politician , activists , or workers . Competitors are , of course , pushing for a change as well .
Alexandre Bompard , the CEO of the French multinational retailer Carrefour , recently called for an final stage to the tax revenue unbalance between internet house from land like the United States or China and the greater tax load on his own brick - and - trench mortar business .
“ They pullulate their products onto markets without even paying value - added tax , and hardly any other taxation at all , it is unbearable , ” Bompard said in an interview with Journal du Dimanche . “ On the same turnover , they should pay the same tax . ”
Le Maire ’s marriage offer would send 3 percent on Gallic receipts and could yield over 500 million Euros , hetoldLe Parisien newspaper on Sunday . The government note will be presented to the French cabinet on Wednesday and then to the French fantan .
The tax , which targets firms with 750 million Euro in spheric revenue and 25 million Euro in French gross , would polish off U.S. giants first and firstly include Google , Facebook , Amazon , Airbnb , and Apple . There are also Gallic , Chinese , and other European business firm that go down under the handbill ’s view .
Internet company pay around 8 per centum tax on profits , according to the European Commission , while other companies make up around 23 percentage . Some tech firms ante up trivial or no revenue enhancement at all in Europe , a mirror of the American state of affairs .
It ’s been only one 24-hour interval since Le Maire ’s proposal was made public , but the straightaway response from Silicon Valley in many way follows the accepted public script when face with potential new taxes .
“ We follow the rules and pay all the revenue enhancement we owe in the places we do business . That is true as rule give today and will remain true for whatever rules apply in future , ” Airbnb spokesperson Aurélien Perol told Gizmodo . Perol tried to stress that Airbnb ’s business fashion model differ greatly from the other society that “ take large sums of money out of the places they do business enterprise . ”
The real test come first behind closed door and then in public in Gallic fantan later this year .
Amazon
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