Macron and Trump declare truce in digital tax dispute – Reuters

France chose in July to use a 3% levy on revenue from digital services made in France by companies with revenues of more than 25 million euros ($28 million) in France and 750 million euros worldwide. Washington has actually threatened to enforce taxes on French items in response.

French authorities have actually repeatedly said any international agreement on digital taxation reached within the OECD would right away supersede the French tax.

The White House said on Monday both Trump and Macron concurred it is essential to finish effective settlements on the digital services tax.

Reporting by Michel Rose, extra reporting by Alexandra Alper in Washington; Writing by Benoit Van Overstraeten; Editing by Angus MacSwan, Nick Macfie and Paul Simao

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French President Emmanuel Macron speaks throughout a visit at the AstraZeneca factory in Dunkirk, France January 20, 2020. Denis Charlet/Pool by means of REUTERS PARIS(Reuters)- French President Emmanuel Macron said on Monday he had a”great discussion” with U.S. President Donald Trump over a digital tax prepared by Paris and said the 2 countries would work together to prevent a rise in tariffs.

Macron and Trump concurred to hold off on a potential tariffs war until completion of 2020, a French diplomatic source said, and continue negotiations at the Organization for Economic Cooperation and Development (OECD) on the digital tax during that period.

“They consented to give a chance to negotiations up until the end of the year,” the source stated. “During that time period, there won’t be successive tariffs.”

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