As the Deputy has noted, France has recently introduced a tax on the activities in France of certain companies which is similar in design to the Digital Services Tax previously proposed by the European Commission. As the Deputy will recall, this Commission proposal ultimately failed to find agreement at ECOFIN in March 2019 and it was agreed that the focus would move towards OECD discussions in order to address the challenges arising from the digitalisation of the economy.
Domestic taxation is a Member State competency and it would not be appropriate for me to comment further on a measure introduced by another Member State. I have not spoken with Minister La Marie since the introduction of this tax. I do have regular engagement with him both bilaterally and through our shared attendance at EU, OECD or other global meetings.
Ireland’s position on the broader issue of tax and digitalisation remains that the challenges arising for the digitalisation of the economy are global in nature and are best addressed by seeking an agreement at a global level which is firmly rooted in the principle that taxation should occur where value is created.