French digital tax 'complicates Donohoe task over Ireland's tax firepower'  

Paschal Donohoe, Minister for Finance has a difficult task ahead. File picture: Sasko Lazarov / RollingNews.ie

The push ahead by France to levy its delayed digital tax next month on tech giants such as Amazon, Google, and Apple, will likely complicate the task of finance minister Paschal Donohoe in retaining Ireland’s corporate tax firepower, a senior economist has said. 

UCC's Seamus Coffey, a former head of the Irish Fiscal Advisory Council, said the move could also open the threat of trade retaliation by the US if it feels France is targeting American companies.