Taxation of Savings Income
Income from interest on capital is one of the most mobile tax bases, and tax competition is rife. In order to ensure the proper operation of the internal market and tackle the problem of tax evasion the savings tax Directive was adopted in June 2003. It has been applicable since 1 July 2005.
The Directive applies to interest paid to individuals resident in an EU Member State other than the one where the interest is paid. Member States had to transpose its provisions into national legislation.
On 24 March 2014 the EU Council of Ministers adopted a revised version of the Savings Taxation Directive Directive (Official Journal L 155 of 15 April 2014, p.50), on the basis of a legislative proposal made by the European Commission on 13 November 2008 as a result of its first review on the functioning of the Directive, with a view to closing existing loopholes and better preventing tax evasion. For further information see our Revised Savings Taxation Directive page
The following web pages aim to provide comprehensive information on the rules applicable and on the legal bases, as well as an overview of contact points that may be of help to those individuals whose interest payments are relevant to the rules in question:
- Rules applicable
- Legal bases
- Implementation of the Savings Taxation Directive
- Benefits of the Savings Taxation Directive
- Revised Savings Taxation Directive
- Second Review of the Savings Taxation Directive
- First review and amending proposal
- Consultation with stakeholders
- Contact points