France's Macron says he, Trump had 'great discussion' on digital tax
The purpose of the tax is to remove the loophole that allows million- and billion-dollar companies to avoid paying high taxes
President Trump and President of France Emmanuel Macron have reportedly agreed to continue talks related to the French digital tax that targets American tech companies until the end of the year.
French President Emmanuel Macron said Monday he had a "great discussion" with President Trump on a digital tax in an effort to avoid more pressure from increased tariffs being imposed on the European nation.
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"Great discussion with @realDonaldTrump on digital tax," Macron wrote in a tweet. "We will work together on a good agreement to avoid tariff escalation."
In March, France introduced the 3 percent tax on companies with more than $834 million in revenue globally and more than $27 million in revenue in France made through certain digital services.
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Some U.S. tech giants such as Google, Apple, Facebook and Amazon said the French tax, known as GAFA — an acronym representing all four companies — unfairly targets them.
Trump and Macron in 2017. REUTERS/Jonathan Ernst
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The purpose of the tax is to remove the loophole that allows million- and billion-dollar companies to avoid paying high taxes.
The Associated Press contributed to this report.