National parliaments should be involved in eurozone tax decisions

Former Prime Minister Alfred Sant said that as a matter of urgency all national parliaments should be active participants and decision makers in the process which the European Commission has been launched on the harmonisation of taxes in the eurozone. Dr. Sant said that having the same tax structures for countries which have different economic structures and endowments, especially if they share a common currency, inevitably puts some countries at a permanent disadvantage.

Dr Sant said that a transparent taxation system should promote growth, job creation and fiscal consolidation. ‘Not all tax competition is harmful. However most measures being discussed involve national competences and should also be discussed at a national level. While all the remedies being suggested merit careful study and attention, it must be recognised that they will impact strongly on the existing competences of national governments’
‘The proposals include the adoption of a common consolidated tax base; moves towards harmonisation of tax rates within the euro zone; the introduction of a minimum tax rate; amendments to the double taxation agreements entered into by states.
All these issues impact strongly on the autonomy and flexibility of national governments and parliaments to manage their financial affairs.’ Said Dr. Sant.

Dr. Sant was addressing the special comittee of the European Parliament which is meeting national parliamentarians from all over the EU on ‘Aggressive tax planning and democratic control of parliaments.’ National parliamentarians discussed the interests and ongoing developments of their respective national tax policies while MEPs mainly discussed the role of national parliamentarians to contribute better to the process of achieving a better EU-level policy framework aimed at non-tax avoidance.

The intervention of Dr. Sant can be followed below:

 

Maltese Version – ‘GĦANDNA NINVOLVU L-PARLAMENTI NAZZJONALI DWAR IT-TASSAZZJONI FIŻ-ŻONA EWRO’

L-Ewroparlamentari Malti Alfred Sant qal li huwa urġenti li l-Parlamenti nazzjonali tal-pajjiżi tal-Unjoni Ewropea jieħdu sehem attiv fid-deċiżjonijiet li se jittieħdu dwar l-armonizzazzjoni tat-taxxi fiż-żona ewro. Dr. Sant qal li l-istess strutturi ta’ taxxi għal pajjiżi bi strutturi ekonomiċi differenti, speċjalment jekk ikollhom munita waħda, tpoġġi uħud minn dawn il-pajjiżi fi żvantaġġ.

Dr. Sant qal li sistema trasparenti ta’ taxxi għandha tippromwovi tkabbir ekonomiku, ħolqien ta’ impjiegi konsolidazzjoni fiskali. ‘Il-kompetizzjoni fit-taxxi mhix ħażina. Iżda ħafna mill-miżuri li qed ikunu diskussi jinvolvu kompetenzi nazzjonali u għandhom ikunu diskussi fuq livell nazzjonali. Waqt li r-rimedji suġġeriti jixirqilhom studju profond u attenzjoni, dawn se jħallu impatt qawwi fuq il-kompetenzi tal-gvernijiet nazzjonali.’
‘Il-proposti jinkludu bażi komuni ta’ tassazzjoni; l-armonizzazzjoni tar-rati tat-taxxi fiż-żona ewro; l-introduzzjoni ta’ rata minima tat-taxxa; emendi għal ftehim ta’ taxxa doppja ta’ stati membri tal-UE. Dawn kollha se jħallu impatt qawwi fuq l-awtonomija u l-flessibilta’ tal-gvernijiet nazzjonali fit-tmexxija tal-finanzi ta’ pajjiżhom’, qal Dr. Sant.
Dr. Sant kien qed jindirizza l-Kumitat speċjali tal-Parlament Ewropew fi Brussell li qed jiltaqa’ ma’ parlamentari nazzjonali tal-pajjiżi tal-UE dwar l-ippjanar tat-tassazzjoni u l-kontroll demokratiku tal-parlamenti nazzjonali. Parlamentari minn pajjiżi differenti iddiskutew l-interess u l-iżvilupp tas-sistemi tat-tassazzjoni f’pajjiżhom biex ikun żgurat l-evażjoni tat-taxxa.