European Commission
EC publishes paper on fiscal implications of green transition, including tax
In September, the EC published a new paper examining the fiscal implications of the global transition to climate neutrality. The paper focuses on government expenditures, revenues, and the need for a comprehensive fiscal strategy within country level transition plans.
It analyses the impact of climate change and related policy on public finances, highlighting potential decreases in public revenues and increased expenditures due to climate-related damages and mitigation measures. Additionally, it explores tax incentives and the revenue potential of tax measures such as air and maritime transport levies as well as financial transaction taxes (FTT).
European Parliament
Von der Leyen appointed with strong majority, outlines her key priorities
Ursula Von Der Leyen (VDL) was re-appointed as EC’s President for a second 5-year term in a European Parliament (EP) Plenary vote on 18 July. She secured 401 votes, well above the 361 needed, 284 votes against, 15 abstentions and 7 void votes. This is a much larger margin than what she gained in 2019.
VDL will now form her new “College of Commissioners” and assign thematic portfolios to the Commissioner candidates appointed by EU Member States, including the new tax Commissioner for DG TAXAUD.
In the meanwhile, VDL published her political priorities for the next 5 years. They indicate a clear shift towards improving Europe’s competitiveness, reducing administrative burdens, unlocking the potential of EU’s capital markets, addressing geopolitical challenges and continuing to foster Europe’s twin digital and sustainable transitions. Tax initiatives will likely align with the above-mentioned priorities.
Council
Hungarian Presidency aims for ViDA agreement in October, seeks progress on ETD
The work of the Hungarian Council Presidency resumes after the summer break. According to latest information and intelligence, the Presidency is aiming for an agreement on the VAT in the Digital Age (ViDA) at the finance ministers’ meeting (ECOFIN) on 8 October.
Other news
EC publishes proposals on an electronic VAT exemption certificate (Directive)
EC publishes proposals on an electronic VAT exemption certificate (Implementing Regulation)
EC publishes report on VAT treatment of vouchers
We look forward to see you all in London!
