The role of tax incentives in achieving EU policy goals
The subcommittee on tax matters will host a hearing on the role of tax incentives in achieving EU policy goals on Tuesday from 15.00.
During the public hearing, experts will examine and discuss the potential impact of tax incentives on EU policy goals, in particular in promoting a greener Europe and in supporting economic objectives.
MEPs will discuss this topic with Dr Markus Meinzer, Director of Policy at the Tax Justice Network, coauthor of “Comparing tax incentives across jurisdictions: a pilot study (2019)”, Dr Ana Cinta González Cabral, Economist at the Centre for Tax Policy and Administration, Tax Policy and Statistics Division (OECD), co-author of the report “Tax Incentives and the Global Minimum Corporate Tax: Reconsidering Tax Incentives after the GloBE Rules”, and Dr Björn Kauder, Senior Economist for Financial Policy and Tax Policy, Institut der deutschen Wirtschaft Köln (German Economic Institute).
The hearing can be followed via the webstream link here or in physical presence in room SPAAK 4B-1 of the European Parliament.
Background
While they come in various forms, tax incentives for businesses are mostly introduced to support either wider economic objectives such as economic growth, job creation, the need to attract foreign direct investment, or to support specific policies, such as the energy transition.
These tax measures have however also been criticised in recent years as they can be used or abused to lower the corporate tax payments of enterprises significantly, thereby possibly causing a gap in overall tax revenue.
As a result, policy-makers have initiated several reforms (patent boxes or the minimum tax rate of 15% in the framework of the OECD Pillar 2 reform for example) in order to counter tax incentive abuse.
Contacts:
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John SCHRANZ
Press Officer