Tax evasion and fraud threaten the European project

European Parliament Special committee on organised crime, corruption and money laundering with commissioner Algirdas Šemeta in charge of Taxation and Customs Union, Audit and Anti-fraud in the forefront, (European Parliament Audiovisual Services, 7/5/2013).

European Parliament Special committee on organised crime, corruption and money laundering with commissioner Algirdas Šemeta in charge of Taxation and Customs Union, Audit and Anti-fraud in the forefront, (European Parliament Audiovisual Services, 7/5/2013).

Tax evasion and avoidance has been a perennial issue from the moment taxation was invented. Presently the European Commission estimates that in the EU of 27 member states, tax avoidance and fraud runs up to €1 trillion yearly, more than enough to foot the bill of government deficits that plague the EU economy and have led to the present crisis of sovereign over indebtedness.

The government account consolidation effort undertaken in Greece, Spain, Portugal, Ireland, Italy and elsewhere in Eurozone, enforced through the application of draconian austerity programmes, threatens even to undermine the very concept of the European project alienating all those citizens who duly pay their taxes from the European ideal.

On this issue, Algirdas Šemeta, EU Commissioner responsible for Taxation and Customs Union, Statistics, Audit and Anti-fraud, speaking to the European Parliament Committee Economic Committee on Taxation/ Brussels said, that “Member States’ consolidation efforts, which need to be sustained, can only be accepted by our businesses and citizens if they are seen to be fair and equally shared. For that reason, it was essential to put more emphasis on tapping into the huge pot of uncollected taxes which escape the public purse through fraud or evasion”.

Tax evaders push for Grexit

Greece is the most striking example of that. All reports about the country’s economic woos have repeatedly stated the problem of the one-sided distribution of the huge load to straighten up the government’s balance sheet. For three years now the Greek austerity programmes are financed with severely increased taxation on those who traditionally duly pay their taxes, that is wage earners and pensioners. On top of that the same part of the population has endured large reductions of wages and pensions. So unfair has become the distribution of the cost to bring down the Greek fiscal deficits, that it has distorted the sociopolitical map of the country.

Greece is the only country with three or even four newly appearing or greatly strengthened extremist parties in the Parliament, practically favouring the exit of the country from the European Union. The Greek political spectrum was completely different some years ago with a regular Parliamentary representation of left and right inclined parties. The present picture contains an extreme right-wing almost fascist party and a left utterly populist political formation being represented in force in the legislative. This last one left formation has even gained second place in the popular vote, playing now the role of major opposition in the Parliament. All this distortion of the sociopolitical climate in the country is the direct outcome of three years of unfair distribution of the cost to cut down government deficits, through unfair tax burden distribution.

All the Greek governments over the last thirty crisis years and even during the last crisis period didn’t touch the almost totally escaping from taxation market services sector, the professional and the small businesses. In reality Greece came close to a complete economic and political collapse without having yet avoided it altogether, exactly because of this complete distortion of the tax burden. In the core of this deplorable situation there is a lack of political will to reverse this catastrophic prospect.

All over the EU

According to Algirdas Šemeta this Greek distortion is present in varying degrees all over Europe. Speaking yesterday to the European Parliamentary Committee on Economics he said, “Up to now, I’m afraid that the appetite for full and unreserved coordination (to effectively counter tax evasion and fraud) has been lacking amongst the Member States. And as a result, fraudsters and evaders have been able to use our Single Market as a playground for their activities”.

Still the European Commission tries to reverse this. Towards this end Algirdas Šemeta also stressed “It is the reason for the EU Action Plan against tax fraud and evasion, which I brought forward last December. If fully implemented, this Action Plan can dramatically improve our chance of eliminating these pervasive problems, and return hundreds of billions of euro back to the public purse”.

Advertising

Advertising

Advertising

Advertising

Advertising

Advertising

Featured Stings

Stopping antimicrobial resistance would cost just USD 2 per person a year

A Sting Exclusive: “Sustainable development goals: what role for business?” Commissioner Mimica asks live from European Business Summit 2015

Britain’s May won the first round on the Brexit agreement with the EU

Dear China

The “Legend of the Sun” wishes you Happy Chinese New Year 2015 from Brussels

India is a latecomer to AI. Here’s how it plans to catch up

EU adopts retaliative measures in response to US steel and aluminum tariffs

A Brussels antithesis reveals where the EU is heading

Syria: Civilians bear brunt of unilateral sanctions, exacerbating ‘unparalleled suffering, destruction,’ says UN expert

‘Pioneering’ former Chilean President Michelle Bachelet officially appointed new UN human rights chief

MWC 2016 LIVE: Mobile World Congress shows off planes, trams and automobiles

EU and New Zealand launch trade negotiations

Satellites and data are going to help us phase out fossil fuels. Here’s how

Italian elections: a long political limbo is ahead

The dangers of data: why the numbers never tell the full story

US migrant children policy reversal, still ‘fails’ thousands of detained youngsters: UN rights experts

The three sins the EU committed in 2015

Why sustainable products are a win-win for all of us

The financial crisis always prefers the south of Eurozone

Ebola outbreak in DR Congo declared over, now let’s tackle other health challenges: WHO chief

MEPs back plans to halt spread of drug resistance from animals to humans

Responsible Artificial Intelligence

Respect for fundamental rights and freedoms key for peaceful polls in DRC – UN mission chief

Estonia is making public transport free

Belgium: Youth Forum takes legal step to ban unpaid internships

This is the life of a refugee: the constant destruction and construction of dreams every day

Replacement for United States on Human Rights Council to be elected ‘as soon as possible’

5 facts about global military spending

TTIP’s 11th round starts in Miami but EU-US businesses see no sunny side

Young students envision turning Europe into an Entrepreneurial Society

The scary EU elections result and the delayed Council’s repentance

Is poverty and exclusion the necessary price for EU’s recovery?

Commission and ECB prepare new financial mega-tool in support of SMEs

MWC 2016 LIVE: Verizon boasts momentum for IoT platform

A Sting Exclusive: EU Commissioner Mimica looks at how the private sector can better deliver for international development

UN chemical weapons watchdog adds new powers to assign blame, following attacks

Except Poland, can climate change also wait until 2021 for the EU Market Stability Reserve to be launched?

This is what countries are doing to fight plastic waste

Parliament pushes for cleaner cars on EU roads by 2030

Pakistan’s digital revolution is happening faster than you think

Sahel States need international support ‘now more than ever’– UN peacekeeping chief

Inflation down to 0.7%, unemployment up at 12.2%: Bad omens for Eurozone

Canada needs to increase foreign aid flows in line with its renewed engagement

Bram in Colombia

Amazon indigenous groups want to create a nature sanctuary the size of Mexico

Capitalism’s greatest weakness? It confuses price with value

EU lawmakers vote to reintroduce visas for Americans over “reciprocity principle”

Yemen talks: Truce agreed over key port city of Hudaydah

Changing for the change: Medicine in Industry 4.0

UN agency warns conditions around Yemen’s key port city of Hudaydah still ‘very bad’, as staff rush to deliver aid

A male gynecologist in Iraq: red line violated

“Is Europe innovative? Oh, Yes we are very innovative!”, Director General of the European Commission Mr Robert-Jan Smits on another Sting Exclusive

UK’s Cameron takes the field to speed up TTIP talks. Will “rocket boosters” work?

Eurozone: Avoiding a new Greek accident

EU summit: No energy against tax evasion and fraud

Commission: Do it like the Americans in the food sector

The gender gap of medicine in 2018

Parliament cuts own spending to facilitate agreement on EU budget

A Sting Exclusive: “Delivering on the Environmental Dimension of the new Sustainable Development Agenda”, Ulf Björnholm underscores from UNEP Brussels

UN chief welcomes event reuniting families on the Korean Peninsula

What next after more sanctions against Russia, will the Ukrainian civil war end?

More Stings?

Comments

  1. You are so awesome! I do not believe I have read
    a single thing like that before. So good to find somebody with some unique thoughts on this subject.
    Really.. thank you for starting this up. This website is something
    that is required on the web, someone with a little originality!

  2. Awesome things here. I’m very satisfied to look
    your article. Thank you so much and I am looking forward to contact you.
    Will you kindly drop me a mail?

  3. It’s going to be end of mine day, except before finish I am reading this great piece of writing to
    improve my experience.

  4. Good day I am so grateful I found your weblog, I really found you
    by accident, while I was researching on Google for something else,
    Anyhow I am here now and would just like to say many thanks for a tremendous post
    and a all round enjoyable blog (I also love the theme/design), I don’t
    have time to read it all at the moment but I have bookmarked it and also added your
    RSS feeds, so when I have time I will be back to read
    a lot more, Please do keep up the excellent jo.

  5. Nice post. I learn something totally new and chalenging on websites I stumbleupon every day.
    It will always be useful to read artiicles from other authors aand practice a little something from other websites.

  6. It’s going to be end of mine day, however before ending I am
    reading this enormous piece of writing to increase my knowledge.

  7. I’m gone to convey my little brother, that he should also go to
    see this blog on regular basis to take updated from most
    up-to-date reports.appletvcluster.com (Gita)

  8. Thanks for the good writeup. It in fact was a
    entertainment account it. Look complicated to
    more brought agreeable from you! However, how can we keep in touch?

  9. Marvelous, what a weblog it is! This blog gives valuable information to us,
    keep it up.

  10. I am truly thankful to the owner of this website who has shared this enormous piece off writing at
    here.

  11. I do trust all off the ideas you’ve introduced for your
    post. They’re very convincing and can certainly work.
    Still, the posts are too quick for novices. May just you please prolong them a
    little from next time? Thank for the post.

  12. Its like you red my mind! You seem to know so much about this, like you wrote tthe book in iit or something.
    I think that you can ddo with some pis to dive the message
    home a bit, but instead off that, this is fantastic blog.
    A fazntastic read. I’ll certainly be back.

  13. I am really enjoying the theme/design of your site. Do you
    ever run into any browser compatibility issues? A couple of my
    blog readers have complained about my website not working correctly in Explorer but looks great in Safari.
    Do you have any advice to help fix this problem?

  14. Magnificent goods from you, man. I have understand
    your stuff previous to and you are just extremely great.
    I really like what you’ve acqired here, certainly like what
    you are stating and the way in which you say it.

    You make it entertaining and you still take care of to keep it
    sensible. I can’t wait to read far more from you. This is actually a wonderful site.

  15. Marvelous, what a weblog it is! This weblog gives useful data to us, keep it up.

  16. Wow, this piece of writing is nice, mmy younger sister is
    analyzing these kinds of things, thus I am going too inform her.

  17. Thanks for some other informative web site.
    Where else could I gett that kind of info written in such a perfect manner?

    I have a project that I am simply noow operating on, and I
    have been at the look out for such info.

  18. I do not know whether it’s jusxt me or if everybody else experijencing issues with your website.
    It looks like some of tthe text within your content are running off the screen. Caan somebody else plese
    provide feedback and llet mee know iff this is happenig to them as well?
    This could be a problem with my browser because I’ve had this happen previously.
    Many thanks

  19. Hello I am so happy I found your website, I really found you by error,
    while I was searching on Google for something else, Anyhow I am here now
    and would just like to say kudos for a remarkable post and a all
    round exciting blog (I also love the theme/design), I don’t have
    time to read it all at the minute but I have book-marked it
    and also included your RSS feeds, so when I have time I
    will be back to read much more, Please do keep up the superb work.

  20. Stunning! You do not come by data similar to this quickly and that I am not so ungrateful!
    Keep it-up guys!

  21. This blog provides just valuable information and I am checking to it-this instant!

    Thanks folks!

  22. I am basically pleased with this blog and that I desired to take some time to thank you from my heart’s underside!

Speak your Mind Here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s