The European Parliament adopted the report for opinion on the global minimum tax rate on companies on Thursday 19 May, during the plenary session, by 503 votes in favour, 46 against and 48 abstentions. Despite criticism of the text, which is based on the OECD agreement (see EUROPE 12941/26), “we decided not to touch the most important markers”, explained rapporteur Aurore Lalucq (S&D, France) the day before during the plenary debate. She called on the Member States to take responsibility: “The Parliament is taking its responsibilities; we refuse to be held hostage by countries that have scores to settle that have nothing to do with taxation issues”, referring to the blocking of Poland (see EUROPE 12926/25).
Socialist Marek Belka railed against his own country: “Poland is on the side of multinationals rather than Polish SMEs!” Billy Kelleher (Renew Europe, Ireland) defended the business perspective: “We need certainty for business”. Although he acknowledged that this agreement was “a first step towards the gradual loss of interest in tax havens”, Claude Gruffat (Greens/EFA, France) called on the EU Commissioner for Financial Services, Mairead McGuinness, to speak to the EU Council Presidency: “If there is no agreement, what will you do? Why continue to play with fire?”
Gunnar Beck (ID, Germany) and Eugen Jurzyca (ECR, Slovakia) did not fail to refute the need for an additional tax. “My group especially wants less tax for all”, said Mr Beck, while Mr Jurzyca worried that the agreement would create “an unfavourable economic environment in Europe”.
Left-wing MEPs denounced the lack of ambition in the agreement. José Gusmão (The Left, Portugal) criticised the “treacherous advertising campaign” around the agreement. Communist Lefteris Nikolaou-Alavanos (NI, Greece) called the agreement a “provocation” because of the exemption of maritime transport: “Greek shipowners are making record profits, the people pay 95% of the taxes, while the companies pay only 5%!”
In its report, the Parliament suggested some changes to the original proposal, which transposes the OECD agreement into EU law: - the introduction of a review clause allowing the annual revenue threshold above which a multinational would be subject to the minimum tax rate to be revised; - the inclusion of an article that includes rules to combat tax avoidance schemes; - the reduction of certain exemptions. The report also calls for an assessment of the impact of the legislation on developing countries.
The report is transmitted to the EU Council, which must adopt the final text unanimously. This item will be on the agenda of the Ecofin Council on Tuesday 24 May.
To read the report: https://aeur.eu/f/1qi (Original version in French by Anne Damiani)