‘More, not less, Europe in taxation’ is how taxation commissioner Pierre Moscovici summed up his vision for the future at the Commission’s Fair Taxation conference, held in Brussels at the end of June.
Europe should look to build a ‘positive taxation agenda’ in which promoting growth and investment is no longer seen in opposition to support for social justice and a fair society. While taxation can be an important tool to promote fairness, Moscovici said, ‘fairness in taxation goes beyond fighting tax abuse’. Referring to the EU Treaty, with its foundation on ‘values of justice, solidarity and equality’ and the promotion of ‘economic and social cohesion’, the commissioner stressed that: ‘Social justice is an EU imperative ... It is our mission.’
European citizens need to have trust in the tax system, which makes it important to ensure that the interests of individual taxpayers and businesses are on an equal footing. To this end, Moscovici highlighted progress made towards achieving transparency and fairness in corporate taxation, including promotion of the OECD’s BEPS agenda and the anti-tax avoidance directive, exchange of information on tax rulings, work on a tax havens blacklist and revival of plans for a common consolidated corporate tax base. ‘With the relaunch of the CCCTB,’ he said, ‘Europe will have a decisive tool against corporate tax avoidance.’
Looking to the future, besides new reporting rules for intermediaries in tax planning schemes, the Commission will launch a further proposal in the autumn for reform of the VAT system, to reduce losses through fraud and give member states more flexibility in applying reduced rates. The Commission will keep pushing for a financial transaction tax through enhanced cooperation among a group of 10 member states. ‘We must reach agreement on FTT,’ Pierre Moscovici said. ‘It is about showing reinforced cooperation can work at the member states’ level when unanimity blocks important reforms.’
Cohesion and convergence will be key elements for the EU budget and financial framework. The European Semester makes recommendations for structural reforms at national level, which the commissioner stressed should not be seen as the EU ‘acting as a super government’.
Ultimately, he said, ‘it all depends on the level of ambition that member states will be ready to commonly agree on’.
‘More, not less, Europe in taxation’ is how taxation commissioner Pierre Moscovici summed up his vision for the future at the Commission’s Fair Taxation conference, held in Brussels at the end of June.
Europe should look to build a ‘positive taxation agenda’ in which promoting growth and investment is no longer seen in opposition to support for social justice and a fair society. While taxation can be an important tool to promote fairness, Moscovici said, ‘fairness in taxation goes beyond fighting tax abuse’. Referring to the EU Treaty, with its foundation on ‘values of justice, solidarity and equality’ and the promotion of ‘economic and social cohesion’, the commissioner stressed that: ‘Social justice is an EU imperative ... It is our mission.’
European citizens need to have trust in the tax system, which makes it important to ensure that the interests of individual taxpayers and businesses are on an equal footing. To this end, Moscovici highlighted progress made towards achieving transparency and fairness in corporate taxation, including promotion of the OECD’s BEPS agenda and the anti-tax avoidance directive, exchange of information on tax rulings, work on a tax havens blacklist and revival of plans for a common consolidated corporate tax base. ‘With the relaunch of the CCCTB,’ he said, ‘Europe will have a decisive tool against corporate tax avoidance.’
Looking to the future, besides new reporting rules for intermediaries in tax planning schemes, the Commission will launch a further proposal in the autumn for reform of the VAT system, to reduce losses through fraud and give member states more flexibility in applying reduced rates. The Commission will keep pushing for a financial transaction tax through enhanced cooperation among a group of 10 member states. ‘We must reach agreement on FTT,’ Pierre Moscovici said. ‘It is about showing reinforced cooperation can work at the member states’ level when unanimity blocks important reforms.’
Cohesion and convergence will be key elements for the EU budget and financial framework. The European Semester makes recommendations for structural reforms at national level, which the commissioner stressed should not be seen as the EU ‘acting as a super government’.
Ultimately, he said, ‘it all depends on the level of ambition that member states will be ready to commonly agree on’.
