Paris: French authorities have demanded that US Internet giant Google pay 1.6 billion euros ($1.7 billion) in back taxes, a source close to the matter said today.
"In regards to France, a 1.6 billion euro adjustment has been imposed on the company," the source said. The French finance ministry told AFP the amount Google would have to pay was subject to "fiscal confidentiality".
Google is one of several multinational corporations that have come under fire in Europe for paying extremely low taxes by shifting revenue across borders in an often complex web of financial arrangements.
France refused to negotiate the amount of back taxes it would request, unlike Britain which requested 130 million pounds ($185 million, 170 million euros) from Google.
A panel of British lawmakers have denounced that settlement as ridiculously low given Google's size and earnings.
Italy is also demanding Google pay over 200 million euros in back taxes following an inquiry by the financial police.
The European Commission has cracked down hard on companies, including US icons such as Apple, Starbucks and Amazon, who have worked out arrangements with countries allowing them to slash their tax bills.
Swedish furniture giant Ikea has also been accused of underpaying taxes by one billion euros by using tax loopholes in certain European countries.
"In regards to France, a 1.6 billion euro adjustment has been imposed on the company," the source said. The French finance ministry told AFP the amount Google would have to pay was subject to "fiscal confidentiality".
Google is one of several multinational corporations that have come under fire in Europe for paying extremely low taxes by shifting revenue across borders in an often complex web of financial arrangements.
A panel of British lawmakers have denounced that settlement as ridiculously low given Google's size and earnings.
Advertisement
The European Commission has cracked down hard on companies, including US icons such as Apple, Starbucks and Amazon, who have worked out arrangements with countries allowing them to slash their tax bills.
Advertisement
COMMENTS
Advertisement
Video: Woman Tries To Jump Off Mumbai's Atal Setu, Saved By Driver, Cops Parents Gave Names Of Interns, Doctors To CBI In Kolkata Horror: Sources Private Jets, Luxury Cars: Lavish Life Of "Ketamine Queen" Jasveen Sangha Doctors Begin 24-Hour Nationwide Strike Over Kolkata Rape-Murder: 10 Points "Rs 2 Lakh Spent On Each Tree": Mumbai Metro Body's Revelation Sparks Row First Test Flight Of India's Human Space Mission Rocket Likely In December Track Latest News Live on NDTV.com and get news updates from India and around the world.