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France calls U.S. pullout from digital tax talks a "provocation"

French Finance Minister Bruno Le Maire slammed as a "provocation" on Thursday a call by the United States for a break in negotiations on how to tax digital giants internationally. "I confirm that we have received a letter from US Treasury Secretary Steven Mnuchin confirming that they don't want to pursue OECD talks on the digital tax," Le Maire told France Inter radio.

Reuters ECONOMY
Published June 18,2020
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Washington's decision to pull out of negotiations on a digital services tax is a "provocation" and Paris will apply such a levy this year despite U.S. objections, France's Finance Minister Bruno Le Maire said on Thursday.

Le Maire said France, Britain, Italy and Spain had jointly responded on Thursday to a letter from U.S. Treasury Secretary Steven Mnuchin announcing Washington's decision to withdraw from negotiations on the planned taxes.

"This letter is a provocation. It's a provocation towards all the partners at the OECD when we were centimetres away from a deal on the taxation of digital giants," Le Maire said on France Inter radio.