Tax: there can be no exception to the automatic exchange of information
S&D Euro MPs today slam the conservatives for watering down an EU law to extend the automatic exchange of information between EU tax administrations with the aim to intensify the fight against tax evasion.
According to the proposal, dividends, capital gains and all forms of financial income and account balances would be added to the list of information to be exchanged within the EU as of 1 January 2014.
But the conservatives passed an amendment leaving member states the discretionary power to decide on the new categories of information subject to the obligation of automatic exchange of information.
S&D Euro MP George Cutaş, who drafted the European Parliament resolution, said after the vote:
"We are glad that the most problematic amendment from the European People's Party (EPP) did not pass at today's vote.
"The exchange of information between tax authorities of member states remains mandatory and will not be subject to the conditionality of having the information available, which would have made the directive redundant.
"However, the S&D Group decided to abstain at the final vote, as the amendment asking for automatic exchange of information to be subject to interpretation of national law did pass at the vote today. This is undermining the development of a European definition of automatic exchange of information."
"If the EU wants to be serious about tax evasion, there can be no exception to the automatic exchange of information".