- Commission today announced Public Country-by-Country Reporting for multinationals
- €750m threshold would only apply to one in ten multinationals
- Proposals only include operations in the EU and a new tax haven list
- Anneliese Dodds MEP calls for Commission to come back with new proposals
Today the European Commission announced a new proposal to tackle tax avoidance and evasion from multinational corporations through Public Country-by-Country Reporting. By making companies publically declare where they make their profits and where they pay their tax, we can force them into playing by the rules throughout Europe.
The announcement follows the overwhelming approval of a report written by Anneliese Dodds MEP in the European Parliament last December that called for Public Country-by-Country Reporting and for an objective list of tax havens agreed by EU Member States.
The European Commission has announced the threshold of €750m turnover before a company would need to report, excluding the majority of EU active multinationals. The European Commission will also create a new list of tax havens based on objective criteria. All activity in these territories will also need to be disclosed.
Anneliese Dodds MEP said “This announcement is another excellent example of the EU showing its value and an amazing step forward in the fight against tax avoidance and evasion. I am very happy that the European Commission has adopted my proposals that were overwhelmingly approved in the European Parliament.
“I’m glad that the European Commission has reversed its proposals to only include EU member states. One of the main proposals that I called for in my report on tax avoidance and evasion was for the establishment of an objective list agreed to by all within the EU, and accompanied by harsh EU sanctions. The European Commission must make this new list based on strong objective criteria.
“I hope that following the release of the Panama Papers, Conservative and UKIP MEPs take a long look at themselves after voting down every one of these proposals when my report went to vote in the chamber. The Tories have a lot to answer for after blocking attempts to crack down on tax avoidance and evasion in Europe.”