The European Parliament has unveiled a new special committee to investigate tax rulings by member states and aggressive tax planning schemes undertaken by multi-national corporations.
The committee will investigate corporate tax policy at a national level over concerns member states may be overusing state aid to provide more attractive territory for multi-national corporations.
It will also look into the use of tax havens by EU-established companies in tax planning, in a bid to establish the negative cost on public finances and look at how to improve data exchange with non-member states.
The committee has been set up following concerns within the European Parliament over the loss of public revenue in member states as a result of efforts to lure multi-nationals.
Money Marketing understands the EU Parliament wants to establish the amount of public money that is being leaked away because of financial treatment, but also that it is seen as a “moral issue”.
The committee will sit for six months before producing a report on its conclusions, and will include its 46 members.
The UK will be represented on the committee by Labour MEP Anneliese Dodds, Conservative MEP Kay Swinburne and UKIP MEP Patrick O’Flynn.
All three also sit on the European Parliament’s committee for economic and monetary affairs.