Activities of Marco VALLI related to 2018/0072(CNS)
Shadow reports (1)
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Amendments (9)
Amendment 38 #
Proposal for a directive
Recital 7
Recital 7
(7) To enable an enterprise's significant digital presence to be taxed in another jurisdiction in accordance with the domestic law of that jurisdiction, it is necessary to establish the principles of attributing profits to that significant digital presence. The rules should be built on the current principles for profit attribution and be based on a functional analysis of the functions performed, assets used and risks assumed by a significant digital presence in performing its economically significant activities through a digital interfaceormulary apportionment based on four equally weighted factors, namely labour, assets, sales by destination, and collection and use of personal data of online platforms and services users. Particular attention should be paid to the fact that a significant part of the value of a digital business is created where the users are based and where the data related to the users is collected and processed as well as to where the digital services are provided. Since economically significant activities performed by a significant digital presence contribute in a unique manner to value creation in digital business models, the profit split methodformula for apportionment should normally be used for arriving at a fair allocation of profits to the significant digital presence. However, this should not prevent a taxpayer from using an alternative method in line with internationally accepted principles if the taxpayer can prove that, based on the outcome of the functional analysis, an alternative method in line with internationally accepted principles is more appropriate. It is also essential that the profit splitting factors bear a strong correlation with the creation of value.
Amendment 53 #
Proposal for a directive
Recital 10
Recital 10
(10) The Commission should evaluate the implementation of this Directive fivthree years after its entry into force and report to the Council thereonEuropean Parliament and the Council thereon, examining its effectiveness in ensuring a level playing field among different businesses in the EU market and its impact on SMEs and on tax revenues in EU Member States as well as in developing countries. Member States should communicate to the Commission all information necessary for this evaluation. An advisory DigiTax Committee should be established to examine questions on the application of the Directive.
Amendment 64 #
Proposal for a directive
Article 3 – paragraph 1 – point 1 a (new)
Article 3 – paragraph 1 – point 1 a (new)
(1a) 'consolidated tax base' means the consolidated net taxable revenue of the group members, as calculated on a consistent accounting basis applicable to all group members, in accordance with the Proposal for a Council Directive on a Common Corporate Tax Base 2016/xx/EU;
Amendment 71 #
Proposal for a directive
Article 4 – paragraph 3 – point a
Article 4 – paragraph 3 – point a
(a) the proportion of total revenues obtained in that tax period and resulting from the supply of those digital services to users located in that Member State in that tax period exceeds EUR 75 000 000;
Amendment 77 #
Proposal for a directive
Article 4 – paragraph 3 – point c
Article 4 – paragraph 3 – point c
(c) the number of business contracts for the supply of any such digital service that are concluded in that tax period by users located in that Member State exceeds 31 000.
Amendment 88 #
Proposal for a directive
Article 5 – paragraph 2
Article 5 – paragraph 2
2. The determination of the profits attributable to or in respect of the significant digital presence shall be those that the digital presence would have earned if it had been a separate and independent enterprise performing the same or similar activities under the same or similar conditibased on the consolidated profits of the group, where positive, to which the digital permanent establishment belongs, in particular in its dealings with other parts of the enterprise, taking into account the functions performed, assets used and risks assumed, through a digital interface.as defined in the Proposals for a Council Directive on a Common Consolidated Corporate Tax Base;
Amendment 90 #
Proposal for a directive
Article 5 – paragraph 3
Article 5 – paragraph 3
3. For the purposes of paragraph 2 the determination of profits attributable to or in respect of the significant digital presence in each tax year shall be based on a functional analysis. In order to determine the functions of, and attribute the economic ownership of assets and risks to, the significant digital presence,ormula for apportionment, in accordance with the Proposals for a Council Directive on a Common Corporate Tax Base and a Council Directive on Common Consolidated Corporate Tax Base, including the digital permanent establishment, as adopted in the legislative resolutions of the European Parliament of 15 March 2018. The formula shall fully reflect the economically significant activities performed by such presence through athe digital ienterface shall be taken into accountprise in each Member State. For this purpose, activities undertaken by the enterprise through a digital interface related to data or users shall be considered economically significant activities of the significant digital presence which attribute risks and the economic ownership of assets to such presence.
Amendment 94 #
Proposal for a directive
Article 5 – paragraph 6
Article 5 – paragraph 6
6. In determining the attributable profits under paragraphs 1 to 4 , taxpayers shall use the profit split method unless the taxpayer proves that an alternative method based on internationally accepted principles is more appropriate having regard to the results of the functional analysis. Thon the basis of equally weighted factors, namely labour, assets, sales by destination and collection and use of personal data of online splitting factatforms may include expenand services users incurred for research, development and marketing as well as the number of users and data collected per Member State('data'), in accordance with the formula for apportionment of the tax base referred to in paragraph 3.
Amendment 101 #
Proposal for a directive
Article 6 – paragraph 1
Article 6 – paragraph 1
1. The Commission shall evaluate the implementation of this Directive fivthree years after its entry into force and report to the Council thereon. It shall in particular examine the effectiveness of this Directive in ensuring a level playing field and fair competition between digital and traditional businesses, its impact on tax revenues in Member States and in developing countries as well as its impact on SMEs.