French President Sarkozy: ‘Internet Giants’ Should Pay More Taxes In France

Posted on Mar 15 2012 - 7:34am by Editorial Staff

In order to generate more taxes, governments often found doing one to two something other things everytime – the latest to add, Nicolas Sarkozy, President of French Republic thinks that ‘internet giants’ aren’t paying the fair amount of tax as they have to pay in actual. Sarkozy told Le Point magazine that it was “unacceptable” that major internet companies “have a turnover of several billion euros in France without paying tax.”

A spokesperson from Google said that the company was already doing plenty to help the French economy. Google cited a report from management consultant McKinsey that said Internet companies contributed 60 billion euros ($78 billion) to the French economy in 2009, or 3.2 percent of output, and could create 450,000 jobs by 2015. Hitting back, the spokesperson argued that “the Internet offers a wonderful opportunity to generate growth and jobs in France”.

Sarkozy argued that France should not “only be a consumer of digital products, but a creator of digital technology and innovative methods” and pointed out that both Google and Microsoft had recently opened offices in France. Sarkozy urged Twitter to follow other Internet companies and base their European operations in France, the president’s office said.

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Editorial Staff at I2Mag is a team of subject experts led by Karan Chopra.