EU Commissioner for Taxation and Customs Union, Audit and Anti-Fraud, Algirdas Šemeta, last month addressed the Oireachtas Committee on Finance, setting out the priorities for EU Taxation under the Irish Presidency. These include advancing the Financial Transaction Tax (FTT), the Tax Evasion and Avoidance Package, and the Common Consolidated Corporate Tax Base (CCCTB).

The Commissioner in his speech outlined his view on the need for deeper tax coordination in the EU, along with national taxation that is both competitive and fair. Commissioner Šemeta noted that while Member States must retain their sovereignty on tax matters, the day of isolated tax policy is over and that coming together as a Union on tax matters does not threaten Member States’ sovereignty.

The official programme for the Irish Presidency of the Council of the European Union, states that reaching an agreement to advance the enhanced cooperation procedure for FTT is a priority for the presidency. The Irish Presidency will also carry forward the discussions on the CCCTB. Proposals to facilitate responses to VAT fraud under the quick reaction mechanisms, as well as proposals on the VAT treatment of vouchers and implementing Regulation governing VAT rules for cross-border services are also stated as priorities.

The Commission's Action Plan to strengthen the fight against Tax Fraud and Tax Evasion, including its Recommendations on Tax Havens and Aggressive Tax Planning, will be taken forward by the Presidency.

Work towards agreement of the revised Savings Directive and the negotiating mandates with third countries, in line with the direction of the European Council will also be continued by the Irish Presidency.