France, Germany aim to close tax loopholes for US tech companies

France, Germany aim to close tax loopholes for US tech companies
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France and Germany are teaming up with other partners to close tax loopholes for U.S. tech giants like Apple and Google.

French Finance Minister Bruno Le Maire told Bloomberg in an interview with France will propose new tax rules for such companies during a meeting of European Union officials in September.

“Europe must learn to defend its economic interest much more firmly — China does it, the U.S. does it,” he said. “You cannot take the benefit of doing business in France or in Europe without paying the taxes that other companies — French or European companies — are paying.”


The proposal will seek to curb international firms' ability to shift profits and costs to countries with lower tax rates, according to Bloomberg, and comes amid growing frustration in Europe with that practice.

Denis Kolberg, a spokesman for Germany's finance ministry, said Germany would comment on the specific proposals after its election in September, according to Bloomberg.

Last year, the European Commission ordered Apple to pay up to 13 billion euros in back taxes, saying that Ireland provided the U.S. tech giant with illegal aid. Both Apple and the Ireland's government are disputing that decision.

French President Emmanuel MacronEmmanuel Jean-Michel MacronHillicon Valley — Presented by Philip Morris International — Apple reportedly dropped plans to let iPhone users encrypt backups | Justices decline facial recognition case | Critics fear Facebook losing misinformation fight | Truce on French tech tax On The Money — Presented by Wells Fargo — Trump at Davos warns Europe on trade | President boasts about US economy to global elite | Experts say Trump trade victories may yield little growth Trump at Davos sends warning shot to Europe on trade MORE is calling on Euro-zone countries with lower corporate tax rates to raise them in order to better align taxes with France and Germany, the euro area's two largest economies.