851.113/122: Telegram

The Chargé in France (Marriner) to the Secretary of State

234. Reference Department’s telegram 131 of May 13, 2 p.m., concerning discrimination as regards French import turnover tax resulting from double taxation agreements with Belgium and Italy.

In response to Embassy’s representations a note has been received from Foreign Office, a copy of which will be forwarded by mail, pointing out that

Agreement with Belgium was necessary in order to relieve merchandise from being twice subjected to analogous taxes.
Ratifications of Italian agreement not having been exchanged Italian products are still subject to the import tax and
Foreign Office will examine the problem with the Embassy when a draft law already submitted to Parliament should have been passed authorizing the Government to reduce the tax to 2 percent as regards products of countries having equivalent taxes or which shall have concluded with France special arrangements on the subject.

The Foreign Office concludes by urging favorable action as concerns representations of French Embassy in Washington regarding use of free [Page 158] trade names such as champagne for 3.2 wines manufactured in the United States.