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6584

Question 6584 — taxes and duties

openFrance· National Assembly· FR

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Mr. Michel Delpon draws the attention of the Minister of the Economy and Finance to the situation of brands with commercial premises in the territory facing internet companies. Store owners are worried about the unfair competition they face from Internet players, particularly in terms of taxation. Concerning VAT, internet multinationals have been able to play with the different rates practiced in European Union countries, using the reduced rates to be cheaper than their competitors. The recent decision of the European Commission to make VAT paid at the place of consumption was beneficial, but it did not solve all the problems. Indeed, the economic model of "pure players of the internet" does not offer any profitability, they have transformed their merchant sites into marketplaces where individuals French, European or non-European people can sell products at their leisure. This situation makes the payment of VAT difficult to control. Concerning the payment of corporate tax, the situation is not more reassuring. The four finance ministers, French, German, Italian and Spanish, proposed to Brussels the establishment of a taxation system binding the American internet giants such as Google, Apple, Facebook and Amazon to pay their taxes due in Europe. They asked the Commission to study the idea of ​​an equalization tax, the base of which would be the turnover generated in Europe, the amounts collected having to reflect the reality of the activities of these groups in the Union. This project is floundering due to opposition from countries that practice tax dumping, including Ireland and Luxembourg. The rise of the Internet has made emerge “pure player” players who have become predominant in the life of local commerce, while selling remotely. This made local economic taxation particularly unfair. The internet giants also use local infrastructure for their deliveries, garbage collection for the collection of their packaging, and deposit at points of sale without paying any tax. Thus, pure players can reinvest the non-payment of these taxes in price reductions or delivery facilities which make them more competitive. Also, he asks him if it is envisaged that the local taxation based on the footprint of the stores will be replaced by taxation based on a base common to all the players in the trade.

Machine translation from French. The official text remains authoritative.

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