French finance minister Bruno Le Maire recently told the media that the European Union is planning a scheme that may impose 2-6% taxes on internet companies such as Facebook and Amazon.

Le Maire pointed out that current tax rules lead US tech giants to set up in low-tax nations like Ireland, the Netherlands or Luxembourg.

Le Maire added that the heads of the GAFA (Google, Amazon, Facebook, and Apple) are aware that their tax avoidance strategies can’t continue as it deprives EU governments of billions and gives them an unfair advantage over smaller competitors. In fact, it was estimated in 2015 by the Organisation for Economic Cooperation and Development that governments around the world miss out on as much as $240 billion a year due to such strategies.

Source: Rappler

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