22 January 2013

Commissioner Šemeta: Speaking points on the Financial Transaction Tax

Šemeta said today's agreement was a major milestone for EU tax policy, as it paved the way for more ambitious Member States to progress on a tax file, even when unanimity could not be achieved.

"But today is also a milestone in global tax history. For the first time ever, the Financial Transaction Tax will be applied at regional level. A block representing around 2/3 of EU GDP will implement this fair tax together, answering the long-time calls of their citizens. And in doing so, they can pave the way for others to do the same.

It should be remembered that, under enhanced cooperation, other Member States can sign up at any time. Some have already expressed potential interest in doing so. And I would encourage any Member State that is considering the FTT to climb on board. Because there is everything to gain from being part of an EU approach to the financial transactions tax. The considerable new revenues it will generate can be used for growth-friendly investment, and to support wider policy commitments such as development.

Taxation will become fairer, as the financial sector makes a proper contribution to public finances and the costs of the crisis. And the Single Market will be strengthened, as a patchwork of national approaches is replaced with one harmonised FTT. This can only make life easier for businesses, by reducing compliance costs and increasing legal certainty.

With the same commitment that the Commission has always shown on this file, we are ready to react swiftly to today's green light for enhanced cooperation. I will present the substantive proposal on the FTT within the next few weeks – drawing largely on our original proposal, as has been requested of us. It will then be for these 11 Member States to take the reins, and discuss and agree this FTT they want to implement."

Šemeta then went on to talk about tax evasion/avoidance and AGS.

Full speech

© European Commission