Public hearing on "The role of tax policy in controlling inflation"

A sustained period of high inflation, which is fuelled by the energy crisis and the repercussions of the war in Ukraine, has had a negative impact on businesses, increased poverty and widened social inequalities within the EU. As food and energy prices are drastically increasing, households in less wealthy EU countries or with low income are impacted more strongly by the inflation, due to higher relative spending on essential items such as food, housing, and utilities. This situation calls for a quick and possibly joint tax policy response from the EU and its Member States.

The purpose of the hearing will be to discuss how tax policy can help to control inflation and to promote sustainable growth in the context of economic recovery in the EU. It will also be an opportunity to examine possibilities for new rules of VAT rates, inflation adjustments of tax brackets and other tax measures, such as tax incentives in renewable energy, and taxes on environmentally harmful activities.