The EESC welcomes the "Action Plan on VAT", and calls for a definitive VAT system that is clear, consistent, robust and comprehensive, as well as proportionate and future-proof. The Committee welcomes the strong focus on closing the VAT gap and tackling the susceptibility of VAT to fraud. There should be results delivered without delay, including by improving cooperation between tax administrations. “Bona fide” enterprises should be protected and no new excessive measures should be imposed on them. The future system of reduced rates must combine flexibility and legal certainty, be transparent, and for the sake of simplicity the number of reduced rates and exemptions must be limited.
The EESC agrees with the aims of the Council Recommendation and with some of its proposals. However, it expresses its disagreement with the proposal for the aggregate fiscal stance of the euro area to be neutral, as well as with the way that the recommendation on salaries is formulated.
The EESC welcomes the establishment of broad economic policy guidelines for the countries of the euro area and supports the formulation of recommendations tailored to each country as well as measures to assess their implementation. However, the Committee regards the current macroeconomic policy mix as unbalanced and calls for a new growth model which takes into account the significance of demand and distributive justice. Stricter regulation of financial markets should be accompanied by a general re-think not only of expenditure, but also of tax systems. Policies should capitalise more on the fact that the negative income and employment multipliers of revenue-related measures are generally more limited than those of spending cuts. The importance for competitiveness of non–price factors is often overlooked.
Fighting against tax avoidance and aggressive tax planning, both at the EU and at a global level, is an important political priority for the European Union. The EESC welcomes and endorses the Commission proposal, which aims to make the taxation system more transparent as this measure will boost public confidence. The EESC suggests that the Commission should aim for a more ambitious package. It proposes the disclosure of a wider range of data, the gradual reduction of the turnover threshold of EUR 750 Million and that the disclosed data is made publicly available in one of the official languages of the EU in order to achieve the objective of giving the public genuine access to data for the whole single market.
The European Economic and Social Committee (EESC) endorses the priorities set out in the European Commission's 2017 Annual Growth Survey.
The European Semester is seen as a good instrument for further progress in policies and reform, leading to recovery and employment. The AGS 2017 outlines the most pressing economic and social priorities, accompanied by specific recommendations, however the EESC takes very seriously the negative aspects of the rules of the Stability and Growth Pact and Country-Specific Recommendations applied at national level to set the euro area fiscal stance.
The EESC strongly rejects the Commission's proposal to cut the EU's budget by 10% in real terms and urges the Member States (MS) to find solutions that allow this budget to be kept at the same level as the 2014-2020 programming period.
The EESC welcomes the special attention devoted to drawing up a European Union Strategy for the Adriatic and Ionian Region (EUSAIR), in order to support cohesion and competitiveness in the light of challenges that cannot be satisfactorily resolved by single regions or countries through the usual means. The EESC believes that EUSAIR must adopt a comprehensive programme with an action-oriented list of projects and schemes, and strongly recommends that better use be made of the private sector's potential to attract investment (both local and international) and to create business opportunities. Simultaneously, the strategy should include a stronger social dimension, in order to better support inclusive growth in the Adriatic and Ionian region.