European Union

Euro-area leaders agreed on Thursday (18 October) to accelerate the work to bolster the monetary union as the European Commission questioned half a dozen member states’ efforts to balance their public accounts, particularly Italy.

EU leaders at the summit in Brussels want partnerships with north African states that go beyond migration. But internal EU reforms on asylum, especially sharing of migrants and refugees between member states, remain stuck.

Some EU leaders warned that Italy's plan to boost its budget spending despite the second largest debt in the eurozone, could hamper efforts to reform the single currency's framework.

The Common Agricultural Policy is key in ensuring that farmers receive a steady, fair income, but imbalances in the food supply chain risk undermining farmers as well as consumers.

President Donald Tusk presented the main results of the European Council (Art. 50), the European Council and the Euro Summit.

On 18 October 2018, the European Council adopted conclusions on migration, internal security and external relations.

At the EU summit in Brussels on Thursday, government leaders did not change the language in the summit conclusions' text on climate change. They acknowledged that a new UN report showed importance of further climate action, but did not propose that the EU should do more. "This was not the moment for that," Dutch prime minister Mark Rutte told EUobserver at a press conference.

In what can be seen as a replay of the Salzburg summit, European leaders had dinner last night without British PM Theresa May, while negotiations stumbled yet again over the Irish border issue. Meanwhile, other EU countries are quietly gearing up to meet the March 2019 deadline. France chief among them.

In 2015, internet activist Lyudmila Savchuk went under cover to expose a troll factory in St Petersburg. As the EU summit endorses anti-disinformation action, she told EUobserver the Russian government is bankrolling many more.

Bulgaria could end up being marginalised if pro-EU parties achieve very good results in next May’s European Parliament elections, said Bulgarian MEP Svetoslav Malinov during a discussion about the upcoming poll.

Retailers are putting pressure on EU lawmakers to postpone a much-awaited vote next week on the European Commission’s proposed directive on unfair trade practices, EURACTIV.com has learnt.

Italy's far-right Interior Minister Matteo Salvini is considering running for the presidency of the European Commission if a coalition of nationalist groups wins the next EU elections, he said in an interview Thursday (18 October).

Support for the EU is at its highest level for 26 years. However, this enthusiasm is not reflected in the projections for turnout at the next European elections. EURACTIV France reports.

Written by Ron Korver,

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Taxation and money laundering are  hot topics these days. Following numerous scandals such as the ‘Lux leaks’ revelations, the ‘Panama Papers and the continuing banking scandals, many people ask whether the current system in which some companies and the super-rich get away with low or zero taxes – whereas ordinary citizens have to foot the full tax bill – is still fair. With public expenditure under pressure, some feel they have to compensate for the ‘race to the bottom’ in the area of corporate taxation to keep the public sector going.

Today’s meeting of the European Parliament’s Special Committee on Financial Crimes, Tax Evasion and Tax Avoidance (TAX3) will be devoted to ‘golden visa’, ‘free ports’ and ‘letterbox companies’ from a money laundering and tax evasion perspective. During the meeting on 18 October 2018, in-house researchers from the EPRS Ex-Post Evaluation Unit and the European Added Value Unit will present three in-house studies to TAX3 Members.

The first study, on citizenship by investment (CBI) and residency by investment (RBI) schemes in the EU analyses the state of play and issues surrounding citizenship and residency by investment schemes (also known as ‘golden passports’ and ‘golden visas’) in the EU. It looks at their economic, social and political impacts and examines the risks they carry in respect of corruption, money laundering and tax evasion. The study compares the schemes offered by several EU Member States.

The second study provides an insight into the money laundering and tax evasion risks in connection to free ports, particularly those that function as (semi-) permanent storage for high value goods, such as art, antiques, diamonds or luxury wines. It provides an appreciation of the effectiveness of the Union Customs Code, the EU Anti-Money Laundering Directive and the Directive on Administrative Cooperation in addressing these risks and makes the connection to the unregulated market of ‘investment art’. Part of the research consists of a case study into the legal and supervisory framework at ‘Le Freeport’ in Luxembourg.

The third study gives an overview of shell companies in the European Union, the main common feature of which is the absence of real economic activity in the Member State of registration. The study aims to contribute to a better understanding of the phenomenon of shell companies by seeking to estimate the incidence of such companies, by means of a set of ‘proxy’ indicators at Member State level. It also explains the main risks associated with shell companies and current policies aimed at mitigating the risks identified.

The three studies contribute together to provide the TAX3 Committee with a comprehensive overview of the policy options for dealing with tax avoidance in the EU.

Whereas Trump has sided with Saudi Arabia in the Khashoggi case, Turkish media have published details on the journalist's disappearance according to which Khashoggi was tortured and then dismembered by a team of 15 special commando agents. Will Riyadh go unpunished?