TAXATION

The different taxation systems in Europe are an important barrier for SMEs to use the internal market and recent studies have shown that on average SMEs have to pay higher taxes than big companies. Main issues for UEAPME are:

• Reduced VAT rates for labour intensive services as instrument to fight undeclared work
• Simplification of VAT obligations in order to reduce administrative burdens
• Home State Taxation for SMEs - make cross border business more attractive

UEAPME Campaign: Get rid of Internal Market Barriers - Home State Taxation for SMEs

The System of Home State Taxation intends to make it much easier for SMEs to do cross-border business. Under the system, proposed by the European Commission in January 2005, companies operating in more than one Member State would be permitted to calculate their taxable profits on the basis of the taxation system of their home country.
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Position Papers

• December 2006: UEAPME open letter to Mr Peer Steinbrück, German Federal Minister of Finance, on the “VAT package” standstill at the Economic and Financial Affairs Council auch verfügbar auf Deutsch

• July 2004: European Taxation Policy for SMEs aussi disponible en Français, Deutsch, Italiano

• October 2003: UEAPME statement on the occasion of the Hearing in European Parliament of reduced VAT rates

• July 2003: UEAPME's comments on European Commissions Report on Experimental application of a reduced rate of VAT to certain labour intensive services
  anche disponibile in Italiano et Français

• March 2003: UEAPME's position paper on "Home State taxation for SMEs"

• March 2003: UEAPME's Rome Declaration on European Taxation Policy
  aussi disponible en Français

• April 2002: UEAPME Position on Consolidated Corporate Tax Base

• June 2001: UEAPME Position on Energy Tax Reduction for Energy Intensive Companies

• May 2001: Proposal for a Council Directive relating to the value added tax arrangements applicable to certain electronically supplied services (COM(2000) 349 final)

Press releases

• 07/07/08: Commission proposal on reduced VAT rates must now be put into practice

• 08/04/08: Taxation rules a key barrier to cross-border trade for SMEs

• 05/12/07: Council’s political agreement on VAT package a boon for SMEs

• 05/07/07: Commission takes sensible stance on reduced VAT rates

• 14/12/06: Incoming German Presidency should unlock “VAT package” stalemate

• 01/02/06: Agreement on reduced VAT rates scheme ends damaging uncertainty

• 25/01/06: VAT deal falls foul of narrow-minded Member States

• 18/01/06: VAT: Overdue decision on reduced rates cannot be postponed again

• 10/01/06: Home State Taxation scheme would remove painful compliance costs

• 13/12/05: M&S loophole strengthens the case for common corporate tax base

• 06/12/05: EcoFin procrastination on VAT will dent consumer confidence

• 05/10/05: Harmonising company tax will reduce crippling cross-border compliance costs

• 08/06/05: Failure to agree reduced VAT scheme puts jobs at risk

• 20/05/05: Agreement on extending reduced VAT scheme a matter of urgency

• 01/03/05: Home state taxation experiment crucial to reducing costs for SMEs

• 08/12/04: Reduced Vat rates for labor - intensive sectors: 5 member states blocking solution to help SMEs fight shadow economy

• 14/09/04: Company taxation: SMEs welcome decision to set up work group, demand involvement of SME representatives aussi disponible en Français

• 10/09/04:European Tax Survey shows usefulness of Home State Taxation for SMEs

• 23/07/04: UEAPME urges Member States to support Commission's ideas on consolidated tax base and Home State taxation aussi disponible en Français

• 21/06/04: UEAPME welcomes deal on EUconstitution but regrets failure to oust unanimity rule for tax issues aussi disponible en Français

• 11/06/04: "Support Commission's Home State Taxation system", SMEs tell Finance Ministers

• 18/12/03: UEAPME welcomes European Commission's support for Home State Taxation schemes and reduced VAT rates experiment aussi disponible en Français

• 26/11/03: SMEs exasperated by Commissioner Bolkenstein's refusal to propose extension to reduced VAT rate experiment

• 30/10/03: UEAPME urges ECOFIN to prolong reduced VAT experiment until agreement on Commission's proposal is reached
  aussi disponible en Français

• 17/09/03: UEAPME: lack of progress regarding reduced VAT proposal putting EU economy in danger
  aussi disponible en Français

• 03/07/03: UEAPME says Commission ignored positive results of reduced VAT rate experiment in its report
  aussi disponible en Français

• 24/06/03: MEP Karas and UEAPME make joint call on upcoming Inter Governmental Conference for extension of QMV
  aussi disponible en Français

• 27/05/03: European Convention: UEAPME condemns Praesidium's decision to propose unanimity voting for tax issues
  aussi disponible en Français

• 10/03/03: European SMEs put forward solutions for incoherencies in EU’s tax system
  aussi disponible en Français

• 07/03/03: European Convention: European SMEs want extension of Qualified Majority Voting
  aussi disponible en Français

• 07/02/03: European Convention has to enable tax reforms
  aussi disponible en Français