France’s lower house of parliament has approved a pioneering tax on internet giants such as Google, Amazon and Facebook.
The Bill aims to stop multinationals from avoiding taxes by setting up headquarters in low-tax EU countries.
Currently, the companies pay nearly no tax in countries where they have large sales such as France.
The Bill foresees a 3% tax on the French revenues of digital companies with global revenue of more than 750 million euros (£835 million), and French revenue of more than 25 million euros (£27 million).
It could affect US companies including Airbnb and Uber as well as those from China and Europe.
The Bill goes to the Senate next week, and the French government hopes other countries follow suit.
The tech industry has warned it could lead to higher costs for consumers.