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Commission launches EU-wide tax proposal
Date 19/10/2010 19:31  Author webmaster  Hits 2849  Language Global

The EU Commission today relaunched its idea for an EU-wide taxation system to fund the EU budget, reaching directly to European taxpayers's pockets and not just national coffers.

"Like a thief, the EU now wants to directly plunder the pockets of the British taxpayer. Be it a carbon tax, a bank levy, or whatever, it is certain that the taxpayers will be taking more pain," UKIP MEP and Budget committee member Marta Andreasen told MEPs today in Strasbourg during the Commission-statement debate on the budget review.

"When people see the EU taking their money, they will increasingly resent the EU waste and lack of transparency," she added.

EU Budget Commissioner Janusz Lewandoswky said an EU-wide tax remains an option in order to increase EU revenue while reducing national contributions.

In its Bugdet Review Communication "to the European Parliament, the Council, the European Economic and Social Committee, the Committee of the Regions and the National Parliaments," the Commission points to "progressively introducing one or several policy-driven own resources," naming EU VAT as an option among others.

"New own resources could fully replace the existing VAT-based own resource as well as reducing the scale of the GNI-based resource, taken directly from national treasuries," the Communication says.

It adds:

"The Commission considers that the following non-exclusive list of financing means could be possible candidates for own resources to gradually displace national contributions, leaving a lesser burden on national treasuries:

• EU taxation of the financial sector

• EU revenues from auctioning under the greenhouse gas Emissions Trading System

• EU charge related to air transport


• EU energy tax

• EU corporate income tax."

The commission is also expected to launch a debate on the British Rebate, which was negotiated by prime minister Thatcher in 1984 to compensate for the huge EU farm subsidies not benefiting Britain.