Local view for "http://purl.org/linkedpolitics/eu/plenary/2008-01-14-Speech-1-107"

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"Mr President, the rapporteur deserves credit for her work, but this is a controversial report. We shall be voting against it and I shall now explain why. This is an attempt to unify tax regimes within the Union, and to impose tax solutions on the Member States. Furthermore, it also amounts to favouring cross-border companies over SMEs, and that would in turn oblige many domestic companies to set up branches and subsidiaries in other countries with no economic justification, simply to benefit from the provisions applying to cross-border companies. I would just like to point out that for many years cross-border companies took advantage of the lack of qualifications and corruption of officials in the post-Communist countries, resorting to tax and accounting fiddles to declare losses and avoid paying tax. The Union condoned this. The new provision would allow such behaviour to continue and put it on a legal footing. I am particularly surprised because there would be negative consequences for the countries of the old Union, as their taxes would be reduced. I believe it is necessary first to resolve the problem of tax and accounting fiddles by cross-border firms within the Union and improve the fiscal apparatus, especially in the new Member States. This would assist in the prevention and detection of tax offences."@en1

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