The French executive has activated the payment of fees that affect giants such as Apple, Amazon, Facebook, Google or Microsoft,
Demands payment and puts pressure on the new Biden government in the US.
The French 'Google rate' appeared to be blank . When Macron and the French Senate approved it in July 2019, they seemed determined to implement it, but trade pressure from the United States caused that measure, although approved, delayed its effective activation.
That changed on Wednesday when the French Minister of Economy indicated that payment notices have been sent to large technology companies affected by this 3% digital tax. The move comes at a singular moment and appears to be a clear pressure measure to renegotiate the terms of the trade agreements between the United States and France.
You move, Biden
Several are the countries of the European Union that had moved tab in this sense, but the application of their respective 'Google rates' - as they are popularly known - has been postponed time and again . It happened in France, but also in Italy , the United Kingdom and Spain , which finally approved it in October .
In France, they have distanced themselves from Europe - which has also been proposing a joint tax for some time - and from the unified project of the OECD that sought to establish agreed taxes among all member countries on large technology companies.
The French executive has activated the payment of fees that affect giants such as Apple, Amazon, Facebook, Google or Microsoft, and this is expected to be the first real move of a few. Among them that of Spain, which according to La Vanguardia will apply the tax in mid-January .
The measure affects those companies that have digital services assets in France and that have revenues of more than 25 million euros in France and more than 750 million euros globally . The minister hopes to raise 400 million euros with this measure, although he has declared that they hope to join the OECD agreement when it occurs in the first months of 2021.
The launch of the French 'Google rate' is notable because it comes after the US elections and poses a measure of pressure on the new Joe Biden government that will begin to take over the reins in January 2021. This decision by France seems oriented to serve as a pressure measure to renegotiate the trade agreements that both countries maintain.