26 Amendments of Dimitrios PAPADIMOULIS related to 2017/0138(CNS)
Amendment 21 #
Draft legislative resolution
Citation 1 a (new)
Citation 1 a (new)
– having regard to its resolution of 6 July 20161a on tax rulings and other measures similar in nature or effect, _________________ 1a P8_TA(2016)0310
Amendment 23 #
Proposal for a directive
Recital 2
Recital 2
(2) Member States find it increasingly difficult to protect their national tax bases from erosion as aggressive and complex 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 corporate and individual's 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 whichhence hindering them from applying growth-friendly tax policies and sustain welfare policies necessary for the most vulnerable social groups while raising walls from fulfilling the constitutional obligations in terms of fundamental rights, aggravating social and economic inequality, increasing political power of cross-border business, shifting taxation towards less mobile factors such as labour and consumption, thus making the tax system less progressive, and widening the democratic deficit. It is therefore critical that Member States' tax authorities obtain comprehensive and relevant information about potentially aggressive tax arrangements or fraud. 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 audit that potentially can lead to significant sanctions.
Amendment 30 #
Proposal for a directive
Recital 3
Recital 3
(3) Considering that most of the potentially aggressive tax planning arrangements span across more than one jurisdiction, the disclosure of information about those arrangements would bring additional positive results where that information was also exchanged amongst Member States. In particularMoreover, taking into account the new global reality that allows even illicit money to move thousands of miles at the click of a button, the need for advanced supervisory mechanisms that are in close contact with police and intelligence is necessary. Thus, the automatic exchange of information between tax administrations and counter- criminal financing bodies is crucial in order to provide these authorities with the necessary information to enable them to take action where they observe aggressive tax practices.
Amendment 34 #
Proposal for a directive
Recital 4 a (new)
Recital 4 a (new)
(4a) The European Parliament should also encourage individuals who have access to information related to sensitive tax information of multinational corporations regarding tax evasion and tax avoidance practices, to come forward and cooperate with the authorities with discretion and respect to the public interest.
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 36 #
Proposal for a directive
Recital 5
Recital 5
(5) It is necessary to recall how certain financial intermediaries and other providers of tax advice seem to have actively assisted their clients to conceal money offshore. It is also necessary to identify the legal status of those financial intermediaries and the licence under which they operate. 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 43 #
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 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, including state-aid monitoring. 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 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 45 #
Proposal for a directive
Recital 6
Recital 6
(6) The disclosure of potentially aggressive tax planning arrangements of a cross-border dimension canshould contribute effectively to the efforts for creating an environment of fair taxation in the internal market. In this light, an obligation on intermediaries to inform tax authorities on certain cross-border arrangements that could potentially be used for tax avoidance purposes would constitute ais a necessary 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 46 #
Proposal for a directive
Recital 6 a (new)
Recital 6 a (new)
(6a) In order to make the tax administrations meet the enhanced duties of mapping the procedures through which amounts of money can secretly surpass national authorities' radars, special funding is needed for equipping them with the necessary legal, administrative and IT tools. This funding has to be channelled to all Member States with special provision to those who face tax collection challenges with a larger fiscal imprint.
Amendment 49 #
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 creating that way an early warning mechanism with necessary sanctioning powers. 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 55 #
Proposal for a directive
Recital 9
Recital 9
(9) Aggressive tax planning arrangements have evolved over the years to become increasingly more complex and are always subject to constant modifications and adjustments as a reaction to defensive counter-measures by the tax authorities. Taking this into consideration, it would be more effective to endeavour to capture potentially aggressive tax arrangements through the compiling of a list of the features and elements of transactions that present a strong indication of tax avoidance or abuse rather than to define the concept of aggressive tax planning. These indications are referred to as 'hallmarks'. Moreover, given the constant changes in the way that tax planning arrangements evolve and adjust, the Union should take the necessary initiatives and recruit former advisors of such intermediaries in order to access quality information on those practices.
Amendment 59 #
Proposal for a directive
Recital 10
Recital 10
(10) Given that the primary objective of such legislation should focus on significantly limiting the catastrophic consequences of tax evasion and tax avoidance on the public accounts while ensuring the proper functioning of the internal market, it would be critical not to regulate at the level of the Union beyond what is necessary to achieve the envisaged aims. This is why it would be necessary to limit any common rules on disclosure to cross- border situations, namely situations in either more than one Member State or a Member State and a third country. In such circumstances, due to the potential impact on the functioning of the internal market, one can justify the need for enacting a common set of rules, rather than leaving the matter to be dealt with at the national level.
Amendment 61 #
Proposal for a directive
Recital 11
Recital 11
(11) Considering that the disclosed arrangements should have a cross-border dimension, it would be important to share the relevant information with the tax authorities in other Member States in order to ensure the maximum effectiveness of this Directive in deterring aggressive tax planning practices. The mechanism for the exchange of information in the context of advance cross-border rulings and advance pricing arrangements, should be available to the public and should also be used to accommodate the mandatory and automatic exchange of disclosed information on potentially aggressive cross-border tax planning arrangements amongst tax authorities in the Union.
Amendment 64 #
Proposal for a directive
Recital 12
Recital 12
(12) In order to facilitate the automatic exchange of information and enhance the efficient use of resources, exchanges should be carried out through the common communication network (CCN) developed by the Union. In this context, information would be recorded on a secure central directory on administrative cooperation in the field of taxation, which should then be publicly accessible and searchable. Member States should have to implement a series of practical arrangements, including measures to standardise the communication of all requisite information through creating a standard form. This should also involve specifying the linguistic requirements for the envisaged exchange of information and accordingly upgrading the CCN.
Amendment 66 #
Proposal for a directive
Recital 13
Recital 13
(13) In order to improve the prospects for effectiveness of this Directive, Member States should lay down strict penalties against the violation of national rules that implement this Directive and ensure that these penalties actually apply promptly in practice, that they are proportionate and have a dissuasive effect. The Member States should submit to the Commission a public list of intermediaries and taxpayers who have had penalties imposed under this Directive, including name, nationality and place of residence.
Amendment 76 #
Proposal for a directive
Recital 18
Recital 18
(18) Since the objective of this Directive, namely to significantly limit the catastrophic consequences of tax evasion and tax avoidance on the public accounts and to improve the functioning of the internal market through discouraging the use of cross-border aggressive tax planning arrangements, cannot sufficiently be achieved by the Member States acting individually in an uncoordinated fashion but can rather be better achieved at Union level by reason of the fact that it targets schemes which are developed to potentially take advantage of market inefficiencies that originate in the interaction amongst disparate national tax rules, the Union may adopt measures, in accordance with the principle of subsidiarity as set out in Article 5 of the Treaty on the European Union. In accordance with the principle of proportionality, as set out in that Article, this Directive does not go beyond what is necessary in order to achieve that objective, especially considering that it is limited to arrangements of a cross-border dimension of either more than one Member State or a Member State and a third country.
Amendment 78 #
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 c
Article 3 – point 18 – point c
(c) one or more of the parties to the arrangement or series of arrangements carries on a business in another jurisdiction through a permanent establishment situatedor a foreign company regardless of its location, in that jurisdiction and the arrangement or series of arrangements forms part or the whole of the business of that permanent establishment;
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 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.
Amendment 118 #
Proposal for a directive
Article 1 – paragraph 1 – point 4
Article 1 – paragraph 1 – point 4
Directive 2011/16/EU
Article 21 – paragraph 5 – subparagraph 3
Article 21 – paragraph 5 – subparagraph 3
The competent authorities of all Member States shall have access to the information recorded in that directory. The Commission shall also have access to the information recorded in that directory, however within the limitations set out in Articles 8a(8) and 8aaa(8)taking into account confidentiality. The necessary practical arrangements shall be adopted by the Commission in accordance with the procedure referred to in Article 26(2). The Commission shall ensure access to the information stored in the directory, to the public.
Amendment 125 #
Proposal for a directive
Article 1 – paragraph 1 – point 8 (new)
Article 1 – paragraph 1 – point 8 (new)
Directive 2011/16/EU
Article 26 a – paragraph 5 a (new)
Article 26 a – paragraph 5 a (new)
5a. Every three years after entry into force, the Commission shall submit a report on the application of this Directive to the European Parliament and to the Council.