French President Emmanuel Macron Emmanuel Jean-Michel MacronNavalny released from hospital after suspected poisoning US-China tensions shadow United Nations meeting The US is missing an opportunity in Lebanon MORE said Monday that his country and the U.S. have reached a "very good agreement" on France's digital tax.

Macron said at a joint press conference with President Trump Donald John TrumpFederal prosecutor speaks out, says Barr 'has brought shame' on Justice Dept. Former Pence aide: White House staffers discussed Trump refusing to leave office Progressive group buys domain name of Trump's No. 1 Supreme Court pick MORE following the Group of Seven summit in France that when an international tax on digital services is established, France will get rid of its national tax and companies that have paid France's digital tax "will be reimbursed."

"The idea is that we need to find a joint agreement in order to address joint international problems," Macron said. "And the situation right now is very negative, and the international tax system definitely needs to be modernized, and I think we will work together in a spirit of cooperation on this."

ADVERTISEMENT

Macron also took to Twitter to tout the agreement after the press conference.

"Some digital players pay very little tax. This is an injustice that destroys jobs. @realDonaldTrump and I have just agreed to work together on an agreement at the @OECD level to modernize international tax rules," Macron tweeted.

The Organization of Economic Cooperation and Development, an intergovernmental economic organization, is aiming to develop a solution to the tax challenges of the digital economy by the end of 2020.

France earlier this year enacted a 3 percent tax on the annual revenues from digital services of large companies, including prominent U.S. tech businesses. The United States' trade representative has launched an investigation into the tax to determine whether it is discriminatory or restricts U.S. commerce.

U.S. tech companies such as Amazon, Facebook and Google have argued that France's law unfairly targets them.

ADVERTISEMENT

Macron said Monday that there are large multinational corporations who aren't paying taxes, which leads to economic instability. He said that France's tax isn't designed to target any specific company and that there are a lot of French companies that will be affected by the tax.

Macron's comments on a U.S.-France agreement come after Reuters reported earlier on Monday about the compromise.

Sen. Ron Wyden Ronald (Ron) Lee WydenHillicon Valley: Subpoenas for Facebook, Google and Twitter on the cards | Wray rebuffs mail-in voting conspiracies | Reps. raise mass surveillance concerns On The Money: Anxious Democrats push for vote on COVID-19 aid | Pelosi, Mnuchin ready to restart talks | Weekly jobless claims increase | Senate treads close to shutdown deadline Democratic senators ask inspector general to investigate IRS use of location tracking service MORE (D-Ore.), the top Democrat on the Senate Finance Committee, said in a statement Monday that the Trump administration "should reject any deal that allows France and other countries to move ahead with discriminatory taxes on U.S. technology companies, in exchange for vague promises down the line."

"If Donald Trump gives France a pass now, then it will be open season for foreign governments to go after major American employers,” Wyden said.

Updated at 4:50 p.m.