2 Background: the impact of NGEU on the EU budget and its financing In adopting NGEU, EU countries called for a revision and expansion of the EU’s own resourc- es, to finance the borrowing costs for the approximately €421 billion in NGEU grants and to reduce reliance on the GNI-based own resource (Council, 2020). [...] The third element of the December 2021 proposal related to the potential revenue gener- ated by the agreement reached at the OECD on the reallocation of taxing rights among more than 140 countries to some of the profits of the world’s largest and most profitable companies. [...] resources, it was wise More importantly, it is wise for the Commission not to go back to the idea of a European for the Commission digital services tax (DST) as a substitute for the OECD deal, notwithstanding that, in July 2020, not to go back to the EU governments recommended the adoption of a European DST in case of OECD negotiation idea of a European failure12. [...] While the nature of the IIR and the DMTT seems quite national (a country will tax the profit of its own companies abroad), the nature of the UTPR is less domestic. [...] Though the collection of the tax will be national, the right to tax, which will depend on allocation rules, seems logically to belong to the internal market and the EU as a whole.
- Pages
- 12
- Published in
- Belgium
