12 Amendments of Petr JEŽEK related to 2016/0010(CNS)
Amendment 7 #
Proposal for a directive
Recital 1
Recital 1
(1) In recent years, the challenge posed by tax fraud, tax avoidance and tax evasion has increased considerably and has become a major focus of concern within the Union and at global level. The automatic exchange of information constitutes an important tool in this regard and the Commission in its Communication of 6 December 2012 containing an Action plan to strengthen the fight against tax fraud and tax evasion highlighted the need to promote vigorously the automatic exchange of information as the future European and international standard for transparency and exchange of information in tax matters. The European Council in its conclusions of 22 May 2013 requested the extension of automatic information exchange at Union and global levels with a view to combatting tax fraud, tax evasion and aggressive tax planning.
Amendment 14 #
Proposal for a directive
Recital 2
Recital 2
(2) As Multi National Enterprise (MNE) Groups are active in different countries, they have the possibility of engaging in aggressive tax planning practices that are not available for domestic companies. When MNEs do so, purely domestic companies, normusually small and medium- sized enterprises (SMEs) may be particularly affected as their tax burden is higher than that of MNE Groups. That in turn causes distortion of competition to the detriment of SMEs. On the other hand, all Member States may suffer revenue losses and there is the risk of unfair competition to attract MNE Groups by offering them further tax benefits. There is therefore a problem for the properSuch a race to the bottom hampers the proper functioning of the Internal Market. According to Article 3 of the Treaty on the Functioning of the European Union (TFEU), it is the Commission's role to establish the competition rules necessary for the functioning of the Iinternal Mmarket.
Amendment 19 #
Proposal for a directive
Recital 3
Recital 3
(3) Union tax authorities need comprehensive and relevant information on MNE Groups regarding their structure, transfer pricing policy and internal transactions in and outside the EU. That information will enable the tax authorities to react to harmful tax practices through changes in the legislation or adequate risk assessments and tax audits, and to identify whether companies have engaged in practices that have the effect of artificially shifting substantial amounts of income into tax-advantaged environments, thus reducing the tax base of other countries.
Amendment 36 #
Proposal for a directive
Recital 6
Recital 6
(6) In the country-by-country report, MNEs Groups should provide annually and for each tax jurisdiction in which they do business the amount of revenuewhich exceed two of three thresholds, namely, a turnover of EUR 40 million, total assets of EUR 20 million and 250 employees, should provide annually and for each tax jurisdiction (including jurisdictions in and outside the Union) in which they have an activity, the name of the company concerned, nature of activities and geographical location; the amount of revenue, the amount of public subsidies received, profit before income tax and income tax paid and accrued. MNE Groups should also report number of their employees, stated capital, retained earnings and tangible assets in each tax jurisdiction. Finally, MNE Groups should identify each entity within the group doing business in a particular tax jurisdiction and should provide an indication of the nature of the business activities each entity engages in.
Amendment 44 #
Proposal for a directive
Recital 8 a (new)
Recital 8 a (new)
(8a) In order to properly monitor the country-by-country reporting obligation and ensure that the internal market is not distorted, Member States should communicate the country-by-country report to the Commission on a confidential basis. The Commission should take all appropriate measures to protect that sensitive information.
Amendment 51 #
Proposal for a directive
Recital 11
Recital 11
(11) As regards exchange of information between Member States, Council Directive 2011/16/EU of 15 February 2011 on administrative cooperation in the field of taxation and repealing Directive 77/799/EEC already provides for the mandatory automatic exchange of information in a number of fields. Its scope should be enlarged to provide for the mandatory automatic exchange of country- by-country reports between Member States, and with the Commission, on a confidential basis.
Amendment 58 #
Proposal for a directive
Recital 12
Recital 12
(12) The mandatory automatic exchange of country-by-country reports between Member States should in each case include the communication of a defined set of basic information thatwhich should be based on uniform definitions and which would be accessible to those Member States in which, on the basis of the information in the country-by- country report, one or more entities of the MNE Group are either resident for tax purposes, or are subject to tax with respect to the business carried out through a permanent establishment of an MNE Group.
Amendment 93 #
Proposal for a directive
Article 1 – paragraph 1 – point 2
Article 1 – paragraph 1 – point 2
Directive 2011/16/EU
Article 8aa – paragraph 2
Article 8aa – paragraph 2
2. The competent authority of a Member State where the Country-by-Country Report was received pursuant to paragraph 1 shall, by means of automatic exchange, as soon as possible and at the latest within one month of reception, communicate the report to any other Member State in which, on the basis of the information in the country-by-country report, one or more Constituent Entities of the MNE Group of the Reporting Entity are either resident for tax purposes, or are subject to tax with respect to the business carried out through a permanent establishment within the deadline laid down in paragraph 4.
Amendment 119 #
Proposal for a directive
Article 1 – paragraph 1 – point 5
Article 1 – paragraph 1 – point 5
Directive 2011/16/EU
Article 23 – paragraph 3
Article 23 – paragraph 3
3. Member States shall communicate to the Commission a yearly assessment of the effectiveness of the automatic exchange of information referred to in Article 8, Article 8a and 8aa as well as the practical results achieved. The Commission shall then submit an annual consolidated report, based on the information received, to the European Parliament and to the Council. The Commission shall, by means of implementing acts, adopt the form and the conditions of communication of that yearly assessment. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 26(2).
Amendment 121 #
Proposal for a directive
Article 1 – paragraph 1 – point 5
Article 1 – paragraph 1 – point 5
Directive 2011/16/EU
Article 23 – paragraph 3 a (new)
Article 23 – paragraph 3 a (new)
3a. The Commission shall, on the basis of the information received, report on an annual basis to the European Parliament and to the Council on the outcome and output of the reporting procedure.
Amendment 122 #
Proposal for a directive
Article 1 – paragraph 1 – point 5
Article 1 – paragraph 1 – point 5
Directive 2011/16/EU
Article 23 – paragraph 3 a (new)
Article 23 – paragraph 3 a (new)
3a. In the event that the Commission's impact assessment on the economic consequences of the public disclosure of the country-by-country reporting information does not identify a significant negative impact, including on global competitiveness and investment, the Commission shall consider making an appropriate legislative proposal for the amendment of this Directive to make that information available to the public.
Amendment 132 #
Proposal for a directive
Article 1 – paragraph 1 – point 7 a (new)
Article 1 – paragraph 1 – point 7 a (new)
Directive 2011/16/EU
Article 27 a (new)
Article 27 a (new)
(7a) The following Article is inserted: “Article 27a Review The Commission shall review the effectiveness of this Directive within three years after its entry into force.”