French Upper Senate today finally passed the GAFA taxation which will claim 3% on the total revenue earned by the tech companies, while selling items to the French consumers. There was threaten from the US President on the same, but ultimately the Senate decided upon sticking to the act that has been decided by the Lower bench of National Assembly.
Reports from our news agency said that there has been long drama from the US regarding the GAFA taxation, but that could not restrict the big financing nation France from putting themselves away from the lower National assembly benches. A week ago, lower division bench from National Assembly of France stated a statement that referred, there are several tech companies that are making a huge profit from France and with the law support of EU; they are not paying tax to the government. Hence they urged for the same and decided a percentage of 3% on the revenue they would earn from France.
A week later, the National Senate stuck to that statement and declares the same with no alteration. Since, the big names, namely Google, Apple, Facebook, and Amazon would be targeted here, they have been abbreviated as GAFA
According to the news report, within this week, there have been a different threat from the US government, and even there has been a declaration from the US government officials that they are being targeted for the same. However, the French government after a post-declaration stated that France is a sovereign nation and hold the right to decide their own taxes.
EU has already seen the big economy, Britain, to exit from the forum and hence they are not presently disturbing another big economy, France. On the other end, the US like they threatened China again tried to threat France stating that they would be going for a 301 inspection commission and France replied – No threats can spoil the national sovereign of France.