US to propose 2,4 billion dollars tariffs on French digital tax – Bloomberg

The US has proposed 2,4 billion dollars tariffs on French digital tax, which came into force in March this year. According to Bloomberg, the US is also considering to probe Turkey, Austria and Italy over the digital tax as well.

The negotiation process is expected to start now and end in the early 2020 with France but continue with the new countries, Bloomberg reports.

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Trump taking actions against France related tech tax

The US President Donald Trump said on Friday that the US is taking action against France and its decision to tax the US tech companies. According to his Twitter feed, the US will announce a substantial reciprocal shortly.

According to Wall Street Journal, France approved a new tax on large tech companies related on digital services. This 3 % tax of revenue will mean that companies like Google and Amazon would need to pay tax in France.

This tax issue will be discussed also in the coming G7 meeting in Biarritz, France in the beginning of August.

 

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Global stocks down – BoE considering green tests for banks

The global stock market continued the downward trend on Monday. S&P 500 -index ended down 2,08 % to 2545 points and Dow Jones -index 2,11 % to 23592 points. Tech-index Nasdaq ended down 2,27 % to 6753 points.

Global economic growth concerns continued in the markets. Markets were also looking at the Federal Reserve meeting this week about the future interest rates.

France decided to introduce the digital tax, starting from the January 1st. This means that big tech-companies must pay “digital tax” from their revenues. This will be implemented to big tech companies like Apple, Google, Facebook and Amazon. France expects that the tax will be about 500 million euros a year.

In Europe the stocks were also down. In Germany the Dax-index was down 0,86 % to 10772 points, in France, Paris the CAC 40 -index ended down 1,11 % to 4799 points and in London City, the FTSE 100-index was ended down 1,05 % to 6773 points.

The Bank of England´s governor Mark Carney told to FT, that he is considering of green stress tests for banks. This would mean that the national banks would be tested how they  can manage Climate Change risks and opportunities in their operations.

According to the bank survey, only 10 % of the banks were taking long enough view of the climate related issues. The final decision of the green stress test will be made by the central bank´s financial policy commitee.

In the Brexit-update, the UK Prime Minister Theresa May told that the vote about the Brexit-deal would happen in mid January in the Parliament.

In Asia, Nikkei 225 index was among the few indexes to gain on Monday trading. It ended up 0,62 % to 21506 points., In Hong Kong the Hang Seng  index ended down 0,03 % to 26 087 points.

Euro was unchanged at 1,13 dollars.

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