851.5123/25

The Secretary of State to the Ambassador in France (Herrick)

No. 1535

Sir: The Department has received your telegram No. 293 of May 26, in which you state that the Embassy is in receipt of complaints from American citizens because, in certain instances, they have to pay higher income taxes than French citizens, and request the Department’s instructions in the matter. You refer in this relation to the last paragraph of your despatch No. 4737 of January 7, last, in which you ask whether the Department desires you to follow up the intimation made by the French Foreign Office that a convention on this subject might be entered into by the two Governments.

In the absence of applicable treaty provisions it is not believed that this Government can demand as a matter of right that the French Government accord to American citizens in France as favorable treatment in matters of taxation as it accords its own citizens. You will, however, inform the Department of the difference between the taxes assessed against American citizens and against French citizens and advise it whether American citizens are being given less favorable treatment than is accorded the nationals of any other foreign country.

The Department does not consider it advisable at this time to take up the matter of the negotiation of a treaty on this subject.

I am [etc.]

Frank B. Kellogg