Bruno Le Maire deplores a deadlock in negotiations

Negotiations at the OECD for a tax on digital giants are at an impasse due to opposition from several countries, including the United States, Saudi Arabia and India, the French Minister of Economy Bruno Le Maire ahead of a G20 ministerial meeting this week in India.

Today things are blocked, notably by the United States, Saudi Arabia and India. We will plead for an unblocking of the situation but the chances of success are slim, said the minister during a press briefing, pleading for a European solution.

I remind you that we have always indicated that if the G20 and OECD countries were unable to agree for a practical implementation of digital taxation, we would plead for its European implementation. I think we are there, added Bruno Le Maire.

A minimum tax of 15%

The Minister recalled that France had already implemented taxation of large digital companies at the national level, which brings in nearly 700 million euros per year.

The taxation of digital gloves is one of the two pillars, called pillar 1, of the agreement reached at the OECD to establish bases fair competition at world level in corporate taxation. The other pillar, called pillar 2, is the one establishing a minimum tax of 15% on company profits.

On this aspect, things have progressed well and this minimum tax could be implemented in the coming months, according to Bruno Le Maire, even if the United States will continue to apply their own system called Gilti.

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