FILE PHOTO: Ireland's Minister for Finance Paschal Donohoe displays a copy of the 2019 budget on the steps of Government Buildings in Dublin, Ireland October 9, 2018. REUTERS/Clodagh Kilcoyne/File Photo

BRUSSELS (Reuters) - Ireland’s finance minister poured cold water Tuesday on a new Franco-German proposal for a European tax on companies’ digital revenues, saying it failed to address his concerns.

“I continue to have strong principled concerns about this policy direction,” Paschal Donohoe told his EU counterparts in a debate on the tax after France and Germany put forward a new proposal focused only on online advertising revenues.

Donohoe added that it would be better to deal with the taxation of large digital companies seeking a broader international deal at the Organisation for Economic Cooperation and Development (OECD).