European Union

Written by Marcin Szczepański (1st edition),

© momius / Fotolia

There is a consensus that the digital economy is relatively undertaxed when compared with traditional businesses. Certain inherent characteristics such as reliance on cross-border provision of services without physical presence, easy transfers of intangible assets, and novel ways to create value make it particularly easy for enterprises to limit their tax liabilities.

In order to provide a solution to this problem, in March 2018 the Commission adopted the ‘fair taxation of the digital economy’ package, comprised of two proposals. One concerns a permanent reform of corporate tax regime while the second is a proposal for a directive on the common system of a digital services tax on revenues resulting from the provision of certain digital services, which would apply as an interim measure until the permanent reform has been implemented.

The tax is to cover businesses above two thresholds: total annual worldwide revenues exceeding €750 million and annual revenues in the EU exceeding €50 million. The proposed single rate is at 3 %, levied on gross revenues resulting from the provision of certain digital services where user value creation is essential. The stakeholders and the Member States seem to be divided on the issue.

Versions

• July 2018: ‘Interim digital services tax on revenues from certain digital services‘ (1st edition)

Proposal for a Council directive on the common system of a digital services tax on revenues resulting from the provision of certain digital services Committee responsible: Economic and Monetary Affairs (ECON) COM(2018) 148
21.3.2018 Rapporteur: Juan Fernando López Aguilar (S&D, Spain) 2018/0073(CNS) Shadow rapporteurs:

 

  Paul Tang (S&D, the Netherlands)
Gabriel Mato (EPP, Spain)
Ashley Fox (ECR, UK)
Petr Ježek (ALDE, Czech Republic)
Martin Schirdewan (GUE/NGL, Germany)
Barbara Kappel (ENF, Austria) Consultation procedure – parliament adopts only a non-binding opinion Next steps expected: Publication of draft report

https://tvnewsroom.consilium.europa.eu/uploads/council-images/thumbs/uploads/council-images/remote/http_7e18a1c646f5450b9d6d-a75424f262e53e74f9539145894f4378.r8.cf3.rackcdn.com/e97ebdbe-89ca-11e8-8d2f-bc764e092fac_1.09_thumb_169_1531838205_1531838205_129_97shar_c1.jpg

EU HR Mogherini participates in the Somalia Partnership Forum, taking place on 17 July 2018, in Brussels.

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"We will continue to call on the Russian Federation to accept its responsibility and to fully cooperate with all efforts to establish accountability," EU diplomacy chief Federica Mogherini said on Tuesday, the fourth anniversary of the downing of flight MH17 over Ukraine. She said that the weapon used to shoot down the plane, killing 298 people, "belonged beyond doubt" to Russian armed forces.

EU leaders and Japanese prime minister signed a series of agreements, including the EU's biggest trade deal ever, designed as an answer to the disruption of the world order by the US president.

Israeli disinformation campaign targeted Brussels news magazine to silence Palestinian NGO group.

Today marks Angela Merkel’s 64th birthday. It's also world emoji day. Is it really a coincidence?

The European Union and Japan signed a long-awaited commercial trade deal on Tuesday (17 July), in an emphatic statement meant to counter US President Donald Trump's attacks against free trade and the rules-based international order.

European Commission president Jean-Claude Juncker will meet US president Donald Trump in Washington on 25 July, the commission confirmed on Tuesday. It said they will discuss "deep cooperation" between the EU and the US "across a wide range of priorities, including foreign and security policy, counter-terrorism, energy security, and economic growth," and that they will focus on "improving transatlantic trade and forging a stronger economic partnership."

The Vote Leave campaign has been fined and reported to the police by the UK’s elections regulator for deliberately falsifying its campaign expenses for the Brexit referendum.

Following the second EU-CELAC ministerial meeting, participants adopted a declaration.

Donald Tusk, President of the European Council, Jean-Claude Juncker, President of the European Commission and Shinzo Abe, Prime Minister of Japan, met in Tokyo for the 25th Summit between the EU and Japan and issued the following statement.

During the press conference after the summit in Tokyo, President Donald Tusk highlighted the strong relations and partnership between the European Union and Japan.

At the press conference of the summit, held in Beijing, President Tusk presented the main topics the leaders discussed during their meeting.

Written by Maria Margarita Mentzelopoulou and Costica Dumbrava (1st edition),

© nd700 / Fotolia

The European Union Code on Visas is one of the core elements of the EU’s visa policy. It lays down the procedures and conditions for issuing short-stay visas for third-country nationals.

On 14 March 2018, the Commission adopted a proposal to revise the Community Code on Visas (visa code). The main objective of the proposal is to strengthen the common visa policy while taking into account migration and security concerns, by increasing the role of visa policy in the EU’s cooperation with third-countries, as well as economic considerations, by facilitating processing of visas for legitimate travellers who contribute to the EU’s economy and its cultural and social development.

Currently, the proposal is still at the early stage of discussions in committee.

Versions

• July 2018: ‘Revision of the Community Code on Visas‘ (1st edition)

Proposal for a regulation of the European Parliament and of the Council amending Regulation (EC) No 810/2009 establishing a Community Code on Visas (Visa Code) Committee responsible: Committee on Civil Liberties, Justice and Home Affairs (LIBE) COM(2018) 252 Rapporteur: Juan Fernando López Aguilar (S&D, Spain) 2018/0061(COD) Shadow rapporteurs:

 

  Heinz K. Becker (EPP, Austria)
Helga Stevens (ECR, Belgium)
Gérard Deprez (ALDE, Belgium)
Marie-Christine Vergiat (GUE/NGL, France)
Bodil Valero (Greens/EFA, Sweden)
Ignazio Corrao (EFDD, Italy) Ordinary legislative procedure (COD) (Parliament and Council on equal footing – formerly ‘co-decision’) Next steps expected: Publication of draft report

Figure 1 – EU visa applications and granted visas (in millions)

After the Brexit referendum and Trump’s election in 2016, the French presidential campaign in 2017 was also affected by Russian interference. However, unlike the US and the UK, France managed to maintain its democratic integrity. EURACTIV.fr reports.

Icelandic Prime Minister Katrín Jakobsdóttir confirmed at last week's NATO summit that her country would launch an investigation into Iceland’s controversial whaling industry, following the killing of what is thought to be a protected blue whale.

Cypriot Foreign Minister Nicos Christodoulides said on Tuesday (17 July) there was new hope of resuming talks on Cypriot reunification, with a new UN envoy about to start meetings with all parties in an effort to relaunch the talks.

The agriculture ministers of France and Germany rejected the European Commission proposal to decrease the budget for the post-2020 Common Agricultural Policy (CAP), claiming instead that it should remain at the current level.

The anxiously awaited meeting between Trump and Putin was a "meaningful and successful" conversation according to the Kremlin boss. The US president stressed once more that there had been no collusion before the US election and accused the FBI of damaging the US with its investigations. Commentators are relieved that the global situation has at least remained stable as a result of the summit, and unanimous on which leader was more in control.