International Tax Review's Award: Commissioner Šemeta sets out case for eliminating tax obstacles in single market

24/05/2012

24 May 2012, Brussels. Algirdas Šemeta, European Commissioner for taxation and customs union, audit and anti-fraud, won this year's Editor's Choice Award at International Tax Review's European Awards.

In his acceptance letter Commissioner wrote: "I am pleased to accept this award in the category "person that has had the biggest impact on tax practise or administration in Europe in the previous 12 months" as recognition that my actions to create a real single market from the tax perspective is also something important for tax professionals. In the EU we are faced with major challenges in terms of fiscal consolidation as well as promoting growth and employment. Taxation has an important role to play here.

In particular we cannot expect our citizens to accept cuts in public services and increases in taxation without first looking to ensure that existing tax rules are fully respected and that tax systems are sufficiently robust and fit for purpose. I believe that we need to concentrate our efforts on developing tax systems that ensure a fair division of the burden, are efficient and cost effective and are not open to abuse. "

Commissioner Šemeta welcomes European Parliament's strong support for the Financial Transactions Tax

23/05/2012

Speaking after the European Parliament's vote in favour of the Commission's proposal for a financial transactions tax today, Commissioner Šemeta said:

"I warmly welcome today's endorsement by the European Parliament of our proposal for a financial transactions tax.

This vote is further recognition of everything that an EU FTT has to offer: a fairer tax system, greater stability of the financial sector, and a new source of revenue that does not ask more of the everyday taxpayer.

The FTT is an opportunity to be seized.

From a small tax we can generate substantial revenues to finance growth-enhancing measures, support growth-friendly tax reforms or help fund global challenges such as development and climate change.

Taxing the financial sector is a question of fairness. Banks and financial institutions received – and continue to receive - massive support from the public sector to overcome the crisis. It is not unreasonable to expect them to contribute, in the same way as other sectors, to our collective recovery.

The FTT will help re-build the damaged relationship between the financial sector and the ordinary citizen, by pointing this sector more towards the real economy and helping to restore confidence.  

It is now in the hands of Europe's Finance Ministers to reach a quick decision on the Commission's proposal for a financial transactions tax. This is what citizens – and now the European Parliament – expect."

Statement on Savings Tax Agreements and VAT strategy

15/05/2012

Brussels, 15 May 2012. Following discussions on the Savings Tax Agreements at the Economic Financial Affairs Council, Commissioner for Taxation and Customs Algirdas Šemeta said: "I am extremely frustrated that we could not reach agreement today on the mandates to negotiate new and stronger savings tax agreements with Switzerland and the 4 other third countries. Tackling tax evasion is a growth-friendly way of boosting national budgets. How can any Member State possibly justify blocking progress in this area?"

Following discussions on the VAT strategy at the Economic Financial Affairs Council, Commissioner for Taxation and Customs Algirdas Šemeta said: "On a more positive note, Ministers did endorse today the new VAT Strategy which I put forward last December. This supports the calls from citizens, businesses and administrations for a complete overhaul of the current system. We must make the EU VAT regime simpler, more efficient and more fraud-proof."

Commission welcomes EP positive vote on discharge for the 2010 budget

10/05/2012

Brussels, 10 May 2012 – The Commission welcomes today's decision by the European Parliament to grant discharge to the Commission in respect of the implementation of the 2010 budget.

Algirdas Šemeta, Commissioner responsible for Taxation and Customs Union, Audit and Anti-Fraud, said: "I greatly appreciate the support that the European Parliament has shown today for our work to ensure that EU funds are correctly controlled and managed. The very constructive dialogue between our two institutions in the run up to today's vote has confirmed a common ambition to ensure that EU taxpayers' money is spent properly, and spent well. Huge improvements have been made over the past 10 years but we can't stop here. The Commission has tabled even stronger measures for EU financial management under the next generation of spending programmes, which will help to reduce errors even further. I count on the co-legislators, Parliament and Council to back these measures, so that we can continue to assure citizens that we are doing everything in our power to protect their money."

Commission proposes new VAT rules for vouchers

10/05/2012

Brussels , 10 May 2012 – Today, the European Commission proposed to update EU VAT rules to ensure the uniform tax treatment of all types of vouchers across all Member States. Vouchers represent a market of more than € 52 billion per year in the European Union. Prepaid telecommunications account for almost 70% of the voucher market, followed by gift vouchers and discount vouchers. However, differences in national VAT rules on vouchers lead to serious market inefficiencies. Instead of being able to really benefit from the Single Market, companies face problems of double taxation and difficulties in expanding their business across borders. The new rules seek to redress this situation.

Algirdas Šemeta, Commissioner for Taxation, Customs, Anti-fraud and Audit, said:
"Vouchers are a booming business in Europe, with millions bought and sold every week. There is no justification for this ever-expanding market to be held back because of uncertainty and complications in the tax rules. With the new VAT rules proposed today, we can move to a genuine single market for vouchers, to the benefit of businesses, citizens and tax administrations."

EU-US agreement on global supply chain

04/05/2012

4 May 2012, Brussels. Today an important step forward has been taken in EU-US trade relations and in securing the global supply chain. After several years of negotiations, the EU and USA have agreed to mutually recognise each other's "trusted traders".

Commissioner for Taxation and Customs Algirdas Šemeta said: "Today's agreement is a major step forward in the EU-US trade relationship. At a time when businesses need all the support they can get, this will make life easier and cheaper for many transatlantic traders. It will also help to ensure that security checks on traded goods are more focussed and effective, further improving the protection that customs provides for each and every citizen." 

Council adopts new rules on collection of excise duties

02/05/2012

Commissioner Algirdas Šemeta welcomes the adoption today by the Council of a regulation for new rules on administrative cooperation in the field of excise duties. The adoption of this regulation will make it easier to for Member States to control the movement of excise goods and speed up the collection of excise duties.

Commisioner Šemeta about the tax challenges and opportunities in an ever-closer Union

27/04/2012

Brussels, 27 April, 2012.  Commissioner Algirdas Šemeta delivered a keynote speech in the  CEPS-ETFP Tax Conference 2012 on the tax challenges and opportunities in an ever-closer Union. In his speech Commissioner addressed the role of the tax policy in the reinforced economic governance framework, presented the priorities for Member States' structural reforms in order to ensure that tax policy contributes to recovery and highlighted the importance of the EU tax coordination.

Commissioner said: "The crisis has changed attitudes to how we approach taxation within the EU. Gone are the days when Member States can "go it alone", implementing tax policies in isolation without a thought to what their neighbours are doing.

Heads of State and government have called for stronger coordination through enhanced dialogue on taxation at EU level, putting special emphasis on improving the efficiency of tax collection and tackling tax evasion. Taxation is now repeatedly highlighted as a fundamental component in our recovery efforts.

Most Member States are committed to progressing and to using all the tools available to deliver – and rightly so. They can count on the active support and involvement of the Commission in this endeavour."

Eurostat:Provision of deficit and debt data for 2011

23/04/2012

In 2011, the government deficit of both the euro area2 (EA17) and the EU27 decreased in absolute terms compared with 2010, while the government debt rose in both zones. In the euro area the government deficit to GDP ratio decreased from 6.2% in 20103 to 4.1% in 2011, and in the EU27 from 6.5% to 4.5%. In the euro area the government debt to GDP ratio increased from 85.3% at the end of 2010 to 87.2% at the end of 2011, and in the EU27 from 80.0% to 82.5%.

To read full press release of Eurostat click here.

Corporate Taxation: Commissioner Šemeta responds to the European Parliament Vote

19/04/2012

"I welcome the Parliament's very strong support for this proposal which will save EU businesses billions of euros and help attract more foreign investors into Europe."

"In offering businesses the option of a simpler, common set of rules for calculating their tax base, the CCCTB will improve our corporate environment and encourage enterprise, innovation, investment and growth. It reflects the spirit of the Single Market and is also an essential element in our growth agenda for Europe. "

To read full statement, click on the link MEMO/12/263