Companies like Google, Netflix, TikTok, and Meta may soon owe the French government, reports Tom's Hardware: France has approved a proposed tax that aims to tax the amount of internet data per gigabyte sent to French users in the country... According to minutes released by the National Assembly, members voted 11-10 in support of the motion on October 30 — which now means the new law has been added to the country's next budget, despite major opposition from the government side and the finance committee rapporteur. The latest amendment, introduced by socialist lawmaker Laurent Lhardit, could see content providers pay €0.055 (roughly $0.06) to the government for every gigabyte of content distributed to French users. With approximately 154 million users and counting in France, the proposal's authors say such a tax could generate around €10 billion ($11.2 billion) in annual revenue for the government. The said proposal, though yet to be passed as it must survive further parliamentary scrutiny, aims at companies that generate substantial internet traffic as opposed to taxing their advertising revenue, profits and subscriptions. Its explanatory notes particularly mention Google, Meta, Netflix, Amazon, and content delivery network Akamai as major potential contributors. Notably, TikTok and other similar platforms could fall under this broader scope depending on how these rules are applied. Internet service providers, including Orange Free and Liad, would be required to measure the volume of data and identify the companies responsible for sending it to French users. The Data will then be collected and submitted quarterly to France's tax administration under the supervision of telecommunications watchdog Arcep. The measure becomes law if it clears the remaining stages of France's budget process, the article points out, "with parliament scheduled to vote on the budget's first section in early November." "VideoLAN, the French nonprofit organization behind the VLC media player, warned that the proposed levy could cost it more than €1 million annually," reports CircleID. "Its response illustrates how traffic-based taxation could affect organizations distributing large volumes of data without corresponding commercial revenue."

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