Second set of new own resources

Background

Ahead of its proposal for an adjusted package for the next generation own resources, announced to be presented on 20.6.2023 (together with the review/revision of the functioning of the Multiannual Financial Framework), the Commission asked the EESC to put forward its point of view and policy recommendations on the issue. The Commission aims to introduce new sources of income for the EU's budget, reducing reliance on member states' contributions and reinforcing EU policy priorities. In its opinion, the EESC urges the Commission to expedite the development of proposals for the Business in Europe: Framework for Income Taxation (BEFIT) as a means to enhance the revenue base and strengthen the EU's own resources. The EESC also emphasizes the need for a more refined estimation of the potential additional revenues linked to the implementation of BEFIT and suggests exploring the inclusion of financial services within BEFIT or the development of a global financial transaction tax (FTT). Additionally, the text suggests considering an EU-wide tax on digital transactions to increase own resources. The EESC estimates it essential to uphold the principles of proportionality and social fairness across all proposed measures. 

Key points

In the opinion, the EESC:

• emphasises that the designing of proposals for new sources of own revenues should be done in context of the budgetary pressures faced by Member States following the pandemic and the ongoing international tensions. This has become all the more important in the current higher interest rate environment;
• urges the Commission to develop the proposals concerning Business in Europe: Framework for Income Taxation (BEFIT) as soon as possible and asks for more refined estimation of the potential additional revenues linked to its implementation and deems it reasonable to explore the possibility of including financial services within BEFIT or of developing a global financial transaction tax (FTT);
• welcomes the agreement between the Council and the European Parliament on the Carbon Border Adjustment Mechanism (CBAM). Moreover, the Commission may consider an additional levy targeting EU companies importing products from third-country manufacturers that do not ensure proper protection of workers;
• considers that an EU-wide tax on digital transactions could be potentially considered to increase own resources in case the agreed rules of the OECD/G20 Inclusive Framework are not respected by other major trading partners.

Additional information 

- EESC section: Economic and Monetary Union and Economic and Social Cohesion (ECO)
- opinion type: Exploratory opinion Commission
- rapporteur: Philip VON BROCKDORFF (Workers-Group II / Malta)
- reference: ECO/617-EESC-2023
- referral: N/A
- date of adoption by section: 30/05/2023
- date of adoption in plenary: 14-15/06/2023

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