5 Amendments of Paul TANG related to 2016/0011(CNS)
Amendment 185 #
Proposal for a directive
Article 6 – paragraph 1
Article 6 – paragraph 1
1. Member States shall not exempt a taxpayer from tax on foreign income which the taxpayer received as a profit distribution from an entity in a third country or as proceeds from the disposal of shares held in an entity in a third country or as income from a permanent establishment situated in a third country where the entity or the permanent establishment is subject, in the entity’'s country of residence or the country in which the permanent establishment is situated, to a tax on profits at a statutory corporate tax rate lower than 40 percent of the statutory tax rate in the Union that would have been charged under the applicable corporate tax system in the Member State of the taxpayerfor such an entity. In those circumstances, the taxpayer shall be subject to tax on the foreign income with a deduction of the tax paid in the third country from its tax liability in its state of residence for tax purposes. The deduction shall not exceed the amount of tax, as computed before the deduction, which is attributable to the income that may be taxed.
Amendment 197 #
Proposal for a directive
Article 7 – paragraph 3 a (new)
Article 7 – paragraph 3 a (new)
3a. Member states will implement more detailed provisions that clarify what is meant by non-genuine arrangements that make use of its tax jurisdiction. Tax advisors that help companies create these non-genuine arrangements should be exposed to sanctions at the level of the individual advisor and at the level of the advisory firm. The Member States will implement a sanctions regime for advisors that facilitate a breach of paragraph 1 of this Article, within six months after this Directive comes into force.
Amendment 208 #
Proposal for a directive
Article 8 – paragraph 1 – point b
Article 8 – paragraph 1 – point b
(b) under the general regime in the country of the entity, profits are subject to an effective corporate tax rate lower than 40 percent of the average effective tax rate in the Union that would have been charged under the applicable corporate tax system in the Member State of the taxpayer;for such an entity.
Amendment 216 #
Proposal for a directive
Article 8 – paragraph 2 a (new)
Article 8 – paragraph 2 a (new)
2a. CFC rules shall be applicable to the actual country of establishment of a parent company. Relocating the parent company to a third country will be disregarded if the company has an activity of less than 25% of its total global activities in the new state of establishment.
Amendment 217 #
Proposal for a directive
Article 8 – paragraph 2 b (new)
Article 8 – paragraph 2 b (new)
2b. A withholding tax shall be charged on any interest and royalty payments to tax havens, unless the company can prove that these payments relate to active business operations with sufficient economic substance