In the future, large corporations in the European Union will have to make public how many taxes they pay in each state. The European Parliament approved a law on Thursday that aims to expose corporate tax-saving models. “It should be clearly disclosed in large international companies where, in which country, they generate profits and where accordingly they are obliged to pay taxes,” said MEP Evelyn Regner (S&D, Austria), who is responsible for parliament Negotiated. In June, after a five-year dispute, the EU institutions agreed on the new rules for so-called “country-by-country reporting”. With the approval of parliament, the law has now been finalized at EU level. Member States now have to implement it within 18 months. According to the regulation, multinational companies with a worldwide turnover of more than 750 million euros must not only give the tax offices but also the public an insight into their books. This applies to both European and international companies based in the EU. In a country-specific report, they should publish, among other things, the net sales, the profit before taxes and the income taxes actually paid.
EU Parliament – tougher tax rules for corporations – economy
