17 Amendments of Pirkko RUOHONEN-LERNER related to 2017/0138(CNS)
Amendment 27 #
Proposal for a directive
Recital 2
Recital 2
(2) Member States find it increasingly difficult to protect their national tax bases from erosion as tax planning structures have evolved to be particularly sophisticated and often take advantage of the increased mobility of both capital and persons within the internal market. These structures commonly consist of arrangements which are developed across various jurisdictions and move taxable profits towards more beneficial tax regimes or have the effect of reducing the taxpayer´’s overall tax bill. As a result, Member States often experience considerable reductions in their tax revenues which hinder them from applying growth-friendly tax policies, in addition to other harmful effects to transparency and regulation of enterprises. It is therefore critical that Member States' tax authorities obtain comprehensive and relevant information about potentially aggressive tax arrangements. This information would enable those authorities to be able to promptly react against harmful tax practices and to close loopholes through enacting legislation or by undertaking adequate risk assessments and carrying out tax audits.
Amendment 35 #
Proposal for a directive
Recital 5
Recital 5
(5) It is necessary to recall how certain financial intermediaries and other providers of tax advice, and auditors, seem to have actively assisted their clients to conceal money offshore. Furthermore, although the CRS introduced by Council Directive (EU) 2014/10727 is a significant step forward in establishing a tax transparent framework within the Union, at least in terms of financial account information, it can still be improved. _________________ 27 Council Directive (EU) 2014/107 of 9 December 2014 amending Directive 2011/16/EU as regards mandatory automatic exchange of information in the field of taxation (OJ L 359, 16.2.2014, p. 1).
Amendment 44 #
Proposal for a directive
Recital 6
Recital 6
(6) The disclosure of potentially aggressive tax planning arrangements of a cross-border dimension can contribute effectively to the efforts for creating an environment of fair taxation in the internal market. In this light, an obligation on intermediaries and auditors to inform tax authorities on certain cross-border arrangements that could potentially be used for tax avoidance purposes would constitute a step in the right direction. In order to develop a more comprehensive policy, it would also be significant that as a second step, following disclosure, the tax authorities share information with their peers in other Member States. Such arrangements should also enhance the effectiveness of the CRS. In addition, it would be crucial to grant the Commission access to a sufficient amount of information so that it can monitor the proper functioning of this Directive. Such access to information by the Commission does not discharge a Member State from its obligations to notify any state aid to the Commission.
Amendment 47 #
Proposal for a directive
Recital 6 a (new)
Recital 6 a (new)
(6a) Recent tax-related leaks have also underlined the need for better information exchange on aggressive tax planning arrangements. To highlight one example, it is scandalous that despite of various inquiries on Apple’s tax practices, its recent Jersey-based tax avoidance structure was only revealed with the Paradise Papers leak.
Amendment 51 #
Proposal for a directive
Recital 7
Recital 7
(7) It is acknowledged that the disclosure of potentially aggressive cross- border tax planning arrangements would stand a better chance of achieving its envisaged deterrent effect where the relevant information reached the tax authorities at an early stage, in other words before the disclosed arrangements are actually implemented. Where the disclosure obligation is shifted to taxpayers, it would be practical to place the obligation to disclose those potentially aggressive cross-border tax planning arrangements at a slightly later stage, as taxpayers may not be aware of the nature of the arrangements at the time of the inception. To facilitate Member States' administrations, the subsequent automatic exchange of information on these arrangements could take place every quarter.
Amendment 56 #
Proposal for a directive
Recital 9 a (new)
Recital 9 a (new)
(9a) The constantly growing role and importance of intellectual property rights in the business models and tax structures of large corporations further underline the urgency of better information exchange on tax avoidance arrangements, given the various easy options that the use of immaterial rights give for artificial transfer of profits.
Amendment 57 #
Proposal for a directive
Recital 9 b (new)
Recital 9 b (new)
(9b) The lack of comprehensive, public country-by-country reporting on relevant financial figures of major multinational enterprises has contributed into the poor reliability of aggregated data on offshore structures, highlighted by the fact that many of the recent high-profile tax avoidance structures are not visible in the current commercial corporate financial account databases. These gaps in statistics hinder the attempts of tax authorities to conduct risk assessments on risk jurisdictions and underlines the need for greater information exchange on tax planning structures.
Amendment 63 #
Proposal for a directive
Recital 11 a (new)
Recital 11 a (new)
(11a) Penalties are to be effective, proportionate and dissuasive, but their design is left for Member States’ legislation. Since all Member States might not have the incentives to design and implement effective sanctions, in order to ensure consistent implementation across Member States, the exchange of information between tax authorities has to be automatic also in regard to penalties imposed, as well as to situations where the Member State has refrained from imposing any.
Amendment 69 #
(13a) Since the knowledge source of new procedures are Member States, which might have a tradition of enticing foreign direct investment with tax advantages, sufficient incentives to expose tax avoidance arrangements in good time must be in place. In particular, sanctions should be increasing with elapsed time on non-reporting to national tax authorities and on sharing the new procedures that meet the specified hallmarks with other Member States’ tax authorities.
Amendment 80 #
Proposal for a directive
Article 1 – paragraph 1 – point 1 – point b
Article 1 – paragraph 1 – point 1 – point b
Directive 2011/16/EU
Article 3 – point 18 – point e
Article 3 – point 18 – point e
(e) such arrangement or series of arrangements hascan potentially have a tax- related impact on at least two jurisdictions.
Amendment 90 #
Proposal for a directive
Article 1 – paragraph 1 – point 2
Article 1 – paragraph 1 – point 2
Directive 2011/16/EU
Chapter II – section II – Article 8 a a a – paragraph 1
Chapter II – section II – Article 8 a a a – paragraph 1
1. Each Member State shall take the necessary measures to require intermediaries and auditors to file information with the competent tax authorities on a reportable cross-border arrangement or series of such arrangements within five working days, beginning on the day after the reportable cross-border arrangement or series of arrangements is made available for implementation by the intermediary to one or more taxpayers following contact with that taxpayer or those taxpayers, or where the first step in a series of arrangements has already been implemented.
Amendment 93 #
Proposal for a directive
Article 1 – paragraph 1 – point 2
Article 1 – paragraph 1 – point 2
Directive 2011/16/EU
Chapter II – section II – Article 8 a a a – paragraph 2 – subparagraph 1
Chapter II – section II – Article 8 a a a – paragraph 2 – subparagraph 1
Each Member State shall take the necessary measures to give intermediaries and auditors the right to a waiver from filing information on a reportable cross- border arrangement or series of such arrangements where they are entitled to a legal professional privilege under the national law of that Member State. In such circumstances, the obligation to file information on such an arrangement or series of arrangements shall be the responsibility of the taxpayer and intermediaries shall inform taxpayers of this responsibility due to the privilege.
Amendment 97 #
Proposal for a directive
Article 1 – paragraph 1 – point 2
Article 1 – paragraph 1 – point 2
Directive 2011/16/EU
Chapter II – section II – Article 8 a a a – paragraph 2 – subparagraph 2
Chapter II – section II – Article 8 a a a – paragraph 2 – subparagraph 2
Intermediaries and auditors may only be entitled to a waiver under the first subparagraph to the extent that they operate within the limits of the relevant national laws that define their professions.
Amendment 103 #
Proposal for a directive
Article 1 – paragraph 1 – point 2
Article 1 – paragraph 1 – point 2
Directive 2011/16/EU
Chapter II – section II – Article a a a – paragraph 4
Chapter II – section II – Article a a a – paragraph 4
4. Each Member State shall take the necessary measures to require intermediaries, auditors and taxpayers to file information on reportable cross-border arrangements that were implemented between [date of political agreement] and 31 December 2018 Intermediaries, auditors and taxpayers, as appropriate, shall file information on those reportable cross- border arrangements by 31 March 2019.
Amendment 105 #
Proposal for a directive
Article 1 – paragraph 1 – point 2 (new)
Article 1 – paragraph 1 – point 2 (new)
Directive 2011/16/EU
Chapter II – section II – Article 8 a a a – paragraph 4 a (new)
Chapter II – section II – Article 8 a a a – paragraph 4 a (new)
4a. Each Member State shall take the necessary measures to investigate the tax arrangements disclosed through the exchange of information provided by this Directive, as well as to provide the resources required for this to their tax authorities.
Amendment 106 #
Proposal for a directive
Article 1 – paragraph 1 – point 2
Article 1 – paragraph 1 – point 2
Directive 2011/16/UEU
Chapter II – section II – Article 8 a a a – paragraph 6 – point a
Chapter II – section II – Article 8 a a a – paragraph 6 – point a
(a) the identification of intermediaries, or, where applicable auditors, and taxpayers, including their name, residence for tax purposes, and taxpayer identification number (TIN) and, where appropriate, the persons who are associated enterprises to the intermediary or taxpayer;
Amendment 112 #
Proposal for a directive
Article 1 – paragraph 1 – point 2
Article 1 – paragraph 1 – point 2
Directive 2011/16/EU
Chapter II – section II – Article 8 a a a – paragraph 6 – point h
Chapter II – section II – Article 8 a a a – paragraph 6 – point h
(h) the identification of any person in the other Member States, if any, likely to be affected by the reportable cross-border arrangement or series of such arrangements indicating to which Member States the affected intermediaries, auditors or taxpayers are linked.