1. Main
  2. Learn
  3. Politics
  4. Laws, Initiatives

EU agrees anti-tax evasion deal

EU agrees anti-tax evasion deal EU agrees anti-tax evasion deal

The European Union agreed a raft of anti-tax evasion measures Tuesday that would make it harder for multinationals to shift profits to countries with lower taxes, but critics said they were too watered down, AFP reports.

The proposals were agreed on provisionally by the EU's 28 finance ministers on Friday, following major revelations in the Panama Papers and LuxLeaks scandals of tax schemes enjoyed by big banks, companies and wealthy individuals.

Final holdouts Belgium and the Czech Republic had asked for extra time to confer with their governments but have now backed the plan after winning concessions.

"Today's agreement strikes a serious blow against those engaged in corporate tax avoidance," Economics Affairs Commissioner Pierre Moscovici said in a statement.

Belgium was especially reluctant to adopt a limit on tax breaks for inter-company lending, fearing that corporations would seek better tax deals outside Europe.

Belgium is home to several of the world's biggest multinationals, such as brewing giant AB InBev, and the Brussels government offers beneficial tax arrangements to many European units of global companies.

To win it's backing, Belgium has been granted until 2024 to meet the new rule.

Greens MEP Eva Joly called the measures "a huge disappointment", adding that the rule on inter-company lending was especially weak.

Ministers have "handled this central issue at an absolute minimum," she said.

Also among the measures are tightened rules to expose shell companies that are used by big companies and wealthy individuals to hide revenue.

The proposals put Europe in line with new anti-tax avoidance rules established by the OECD and the G20 group of nations.

Nobel prizewinner proposes a new city in KZ
New abnormal snowfalls expected in Kazakhstan
Huge glacier retreat triggered in 1940s
Hyperloop construction begins in Las Vegas
"Moonlight" to top Spirit Awards nominations
Oil prices fall due to investors uncertainty
New dwarf galaxy discovered around Milky Way
Kanat Islam becomes a top ten WBO boxer
World oil prices continue to rise
Kazakhstan expects warming - Kazhydromet
Merkel to seek fourth term as chancellor
Sale of Tintin drawings set to break records
US, EU stocks fall as markets focus on dollar
Pacific leaders urged to defend free trade
EU warns eight nations on budget deficit
Universiade-2017: Athletic Village is ready
Bob Dylan can't make Nobel ceremony
Messi will never leave Barca - club president
Google, Facebook take aim at 'fake' news
Aerosmith announces Europe 'farewell' tour
Putin, Trump to normalise US-Russia ties
At least 10 hurt in southern Turkey blast
6.2 quake hits western Japan
OPEC agrees shock oil output cut
Israeli ex-president and Nobel laureate Peres dies
Germany blocks WhatsApp data transfers to Facebook
32,000 arrested in Turkey coup probe
Youth to the fore as Milan fashion week opens
Xenophobia threatening peace in eastern Germany
Four-in-10 Japanese are virgins: poll
Sweden re-militarises Baltic island of Gotland
China to launch second space laboratory: Xinhua
More than a billion stars mapped in Milky Way: ESA
Boxing: Golovkin eyes Saunders after stopping Brook
Kazakhstan shifts PM to security chief
Oil prices gain despite rising OPEC supply forecast
US to give Philippines military planes
Singapore wages war on Zika-bearing mosquitoes
Italy quake death toll nears 250
Viral photos add fuel to French burkini debate
18 dead as Italy struck by powerful quake
Japan's first lady visits Pearl Harbor
Pokemon's a no-go on Bangkok's roads
July was Earth's hottest month in modern times
Pakistan rock climbers scale new heights