Country-by-country-reporting: "Don't jeopardise European companies' competitiveness"
The EPP Group wants more transparency about which countries multi-national companies are paying their taxes in. "We want companies to pay taxes where the value is created. The so-called country-by-country reporting will help us identify if this principle is being enforced or not. This is why we want it", said Dariusz Rosati MEP, the European Parliament (EP) Rapporteur on the 4th Directive on Administrative Cooperation (DAC4), after the approval of the new law today in the EP's Economic and Monetary Affairs Committee.
But Rosati warned against expecting too much from country-by-country reporting: "This alone will not fix the problem. Member States must also cooperate more in other tax matters. Also, we must not jeopardise European companies' competitiveness by asking them to disclose information that American and Chinese companies do not have to disclose", he said.
Companies shouldn't have to disclose information that American and Chinese companies do not have to disclose. Dariusz Rosati MEP
The EPP Group wants the European Commission to have access to the information which is exchanged. "By enhancing cooperation between Member States on automatically exchanging tax information between Member State tax authorities, it will be easier to effectively fight unfair and harmful tax competition. But the European Commission must be on board as well", Rosati stressed.