Google Woes: Owing The French Government $1.76B USD In Back Taxes

Google Woes: Owing The French Government $1.76B USD In Back Taxes
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In today’s world, tech companies are seen to be dominating the world, or at least it has gotten to a point where it is highly visible. Of course with this in mind these companies not only attract the attention of the general public but of lawmakers and leaders as well. So avoiding paying taxes is one that they could not get away with. Most of them are accused of using loopholes to avoid paying taxes. One of these companies is the search engine giant, Google.


In the past, the tech company has been at odds with lawmakers regarding its tax issues. It could be recalled that just this January, its parent company Alphabet has managed to struck a deal with UK tax authorities to pay the extra £130 million GBP or $181 million USD in back taxes that it owes the country for a 10-year period since the year 2005.

However, even if there was a deal made, it was heavily criticized as it appears to be a meager amount compared to what is supposedly owed to the government. Meanwhile, the Italian tax authorities is also seeking around €300 million EUR or about $330 million USD in back taxes for a period of six years, reports Forbes.

It was reported that the American company’s CEO, Sundar Pichai, has met France Economy Minister, Emmanuel Macron, this Thursday in Paris just after pleading for a simpler global tax system. Based on reports, the French government wants Google to pay €1.6 billion EUR or $1.76 billion USD in back taxes, sources told Reuters.

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According to an unnamed source from the French government, as far as their country is concerned, “back taxes concerning the American tech firm amount to €1.6 billion EUR. When ask for a comment, Google France spokesperson declined and only said that the company has obeyed tax rules in all countries where it is operating. On the other hand, France Finance Minister also kept quiet about the issue.

The French Treasury Department is known to have been seeking €1.6 billion EUR from the American firm for more than two years now. The fee it had been seeking from the tech giant is for avoiding local taxes through the use of a widespread yet legal corporate revenue-shifting scheme. Forbes reports that this time though, the French equivalent of the IRS which is the FISC has reportedly charged the search engine company an extra €600 million EUR for late payment interest fee.

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