Brussels, 29/11/2000 (Agence Europe) - The considerable controversy between the members of the European Parliament's economic and monetary committee led, on Tuesday, to the withdrawal by their authors of two reports on tax coordination within the EU. "Both reports had been drafted in a spirit of compromise, with a view to the current discussion within the Council on European tax harmonisation and the fight against harmful tax competition between Member States. Despite the willingness of the two rapporteurs to find a compromise on several paragraphs, the EPP, partly supported by the Liberals (who, together, form a majority within the committee), sabotaged all attempts at coming to a common position on this vital issue", said the rapporteurs, Ms Randzio-Plath (PES), Chair of the Committee on Economic and Monetary Affairs, and Mr Pierre Jonckheer (Greens, ALE), in a joint statement.
Nearly 200 amendments were submitted, essentially by EPP members, opposed to tax coordination. "This atmosphere of conflict once again brings into question the position and credibility of the Parliament. If we are no longer able to reach a compromise, the Council's attempts to weaken the role of the EP in the context of EMU are strengthened", said Mr Jonckheer.
Strong reaction from Mr Langen on behalf of EPP Group
CDU elected member Werner Langen reacted very strongly, saying he thought the comments by the rapporteurs were "an affront" and "anti-democratic behaviour". If Ms Randzio-Plath is not able to draw up a draft report able to gain a majority, then she should expect amendments, said Mr Langen in a communique. If went as far as to add that, if she cannot even bear the idea of amendments that have not yet been adopted, then one ought to wonder whether she wants to continue in the chair of the economic and monetary committee. On substance, Mr Langen notes that, within the European Parliament, views on EU tax policy differ. The last ten years have not brought any progress in tax coordination and harmonisation, and the latest discussions on savings tax leave many issues still unresolved, stresses the MEP, for whom the correct response would be "tax competition" between Member States. No-one is in favour of taxation dumping practices, but it is only in a situation of competition that the Member States would be forced to review their tax policy, he states, reproaching Ms Ranzio-Plath with not recognising that the tax burden on Europeans is excessive, and should be reduced.