US President Donald Trump on Wednesday ordered an investigation into France’s plans to tax technology companies, a probe that could lead to the United States imposing tariffs as part of a new trade tiff with the EU.
France’s parliamant definitively adopted the law on Thursday, making France the first major economy to impose a tax on internet heavyweights.
Dubbed the GAFA tax – an acronym for Google, Apple, Facebook and Amazon – the legislation will impose a levy of 3 percent on total annual revenues of the largest tech firms providing services to French consumers.
“The United States is very concerned that the digital services tax … unfairly targets American companies,” US Trade Representative Robert Lighthizer said in a statement announcing the investigation on Wednesday.
The move gives Lighthizer up to a year to investigate if France‘s digital-tax plan would hurt US companies.
The “Section 301” investigation will determine if the levy represents an unfair trade practice.
France on Thursday criticised US plans for an investigation, saying it could trigger punitive tariffs and adding that “threats” were not the way to resolve disputes.
“Between allies, I believe we can and must resolve our differences in another way than through threats,” Economy Minister Bruno le Maire told the French Senate ahead of the vote on the tax.
“It is the first time in the history of the relationship between the United States and France that the US administration has decided to open a procedure under Section 301,” he said.
This type of investigation is the primary tool the Trump administration has used in the trade war with China to justify tariffs against what the United States says are unfair trade practices.
Le Maire said in March that a 3% tax on the French revenue of large internet companies could yield €500 million ($563 million) a year. He said the tax would target some 30 companies, mostly American but also Chinese, German, Spanish and British, as well as one French firm and several firms with French origins that have been bought by foreign companies.
The tax would affect companies with at least €750 million ($844 million) in annual revenues and apply to revenue from digital business including online advertising.
Companies such as Alphabet Inc’s Google, Apple Inc, Facebook Inc and Amazon.com Inc would likely be subject to the tax.
Senate Finance Committee Chairman Chuck Grassley, a Republican, and Senator Ron Wyden, the top Democrat on the panel, praised the investigation.
“The digital services tax that France and other European countries are pursuing is clearly protectionist and unfairly targets American companies in a way that will cost US jobs and harm American workers,” they said in a joint statement.
‘Disease fanboy’: Internet slams NBC conservative for ‘rooting for pandemic’ to distract from Trump impeachment trial
Hugh Hewitt is once again under fire, this time for almost appearing to be glad a deadly SARS-related virus has been diagnosed in a patient in Washington state – saying additional diagnoses will take the focus away from the Senate's historic impeachment trial. Hewitt is a conservative Washington Post columnist, radio host, MSNBC and NBC contributor, and law professor who went from being a "Never-Trumper" to all-in for President Donald Trump.
"People care much more for their health than theater," said Hewitt via Twitter, referring to Trump's impeachment trial. The SARS-related virus, known as the Wuhan coronavirus, is named for an area of China where it was first found. It "has infected more than 300 people and killed six in an outbreak that has struck China, Thailand, South Korea, Japan and now the US," CNN reports.
Greece elects first woman president
Greece's parliament on Wednesday elected the first woman president in the country's history, a senior judge with an expertise in environmental and constitutional law.
A cross-party majority of 261 MPs voted in favour of 63-year-old Ekaterini Sakellaropoulou, parliament chief Costas Tassoulas said.
"Ekaterini Sakellaropoulou has been elected president of the republic," Tassoulas said.The new president, until now the head of Greece's top administrative court, the Council of State, will take her oath of office on March 13, he added.
The daughter of a Supreme Court judge, Sakellaropoulou completed postgraduate studies at Paris's Sorbonne university.
I spent MLK Day reading Stephen Miller’s racist emails — here’s why
Dr. Martin Luther King Jr. is in the pantheon of American heroes. He is honored with a national holiday. For those of us who write about American politics, life and society it is expected – rightly or wrongly – that on King's designated holiday we offer a comment, essay or some other thought about his legacy.
The expectation is even greater for black Americans and other nonwhites. Brother King was and is a gift to all Americans — and, yes, the world — but black people are the most direct beneficiaries of his struggle.
Every year brings more writing about King's legacy and the work which remains. Interviews and talks will be given. Brother King will be quoted. The "I Have a Dream Speech" and the March on Washington will be obsessively referenced by the mass media and others. Of course, the "Jobs and Freedom" part of the march will be left out.