16 Amendments of Esther DE LANGE related to 2018/0073(CNS)
Amendment 43 #
Proposal for a directive
Recital 2 a (new)
Recital 2 a (new)
Amendment 63 #
Proposal for a directive
Recital 6
Recital 6
(6) Pending such action, which may take time to adopt and implement, Member States face pressure to act on this issue, given the risk that their corporate tax bases are being significantly eroded over time. Uncoordinated measures taken by Member States individually can fragment the Single Market and distort competition, hampering the development of new digital solutions and the Union's competitiveness as a whole. This is why it is necessary to adopt a harmonised approach on an interim solution that will tackl, preventing a further deterioration of the current situation of unfair taxation of digital economic activities. The interim solution should solve this issue in a targeted way until a comprehensive solution, preferably on international level, is in place.
Amendment 65 #
Proposal for a directive
Recital 6 a (new)
Recital 6 a (new)
(6a) The interim solution should therefore cease to exist as soon as an agreement on international level has been found and in any case no later than 1 January 2025. To avoid distortion of the Single Market, Member States should after 1 January 2025 (or after an agreement on international level has been found) terminate all laws which were necessary to comply with this Directive and avoid gold plating of the agreement found on international level.
Amendment 97 #
Proposal for a directive
Recital 22
Recital 22
(22) Only certain entities should qualify as taxable persons for the purposes of DST, regardless of whether they are established in a Member State or in a non-Union jurisdiction. In particular, an entity should qualify as a taxable person only if it meets both of the following conditions: (i) the total amount of worldwide revenues reported by the entity for the latest complete financial year for which a financial statement is available exceeds EUR 750 000 000; and (ii) the total amount of taxable revenues obtained by the entity within the Union during that financial year exceeds EUR 250 000 000.
Amendment 102 #
Proposal for a directive
Recital 24 a (new)
Recital 24 a (new)
(24a) To protect small enterprises and start-ups compared to larger companies, the DST rate should be set at a different level over the revenues between EUR 25 000 000 and EUR 100 000 000 and over the revenues above EUR 100 000.
Amendment 103 #
Proposal for a directive
Recital 24 b (new)
Recital 24 b (new)
(24b) To avoid a cliff effect and to protect small companies and start-ups, every taxable person or entity in scope should receive an annual tax allowance of EUR 750 000.
Amendment 106 #
Proposal for a directive
Recital 27
Recital 27
(27) In order to alleviate possible cases of double taxation where the same revenues are subject to the corporate income tax and DST, it is expected that Member States willa future Union wide common solution will have to be found on allowing businesses to deduct the DST paid as a cost from the corporate income tax base in their territory, irrespective of whether both taxes are paid in the same Member State or in different ones.
Amendment 111 #
Proposal for a directive
Recital 35
Recital 35
(35) The taxable revenues should be equal to the total gross revenues obtained by a taxable person, net of value added tax and other similar taxes. Taxable revenues should be recognised as obtained by a taxable person at the time when they become due, regardless of whether they have actually been paid by then. DST should be chargeable in a Member State on the proportion of taxable revenues obtained by a taxable person in a tax period that is treated as obtained in that Member State, and should be calculated by applying the DST rate to that proportion. There should be a single DST rate at Union level in order to avoid distortions in the Single Market. The DST rate should be set at 3% over the revenues between EUR 25 000 000 and EUR 100 000 000 and 5% over the revenues above EUR 100 000, which achieves an appropriate balance between revenues generated by the tax and accounting for the differential DST impact for businesses with different profit margins, as larger digital revenue streams would in most cases enable companies to operate with a higher profit margin.
Amendment 118 #
Proposal for a directive
Recital 35 a (new)
Recital 35 a (new)
(35a) The annual tax allowance of EUR 750 000 that every taxable person in scope of this Directive should receive to avoid cliff effects, corresponds with 3% of the lower threshold of EUR 25 000 000, creating a de facto minimum taxation of 3% of every euro earned above EUR 25 000 000.
Amendment 120 #
Proposal for a directive
Recital 37 a (new)
Recital 37 a (new)
(37a) Total digital service tax paid by a taxable person per Member State should be a part of the system of country-by- country reporting.
Amendment 147 #
Proposal for a directive
Article 4 – paragraph 1 – point b
Article 4 – paragraph 1 – point b
(b) the total amount of taxable revenues obtained by the entity within the Union during the relevant financial year exceeds EUR 250 000 000.
Amendment 158 #
Proposal for a directive
Article 8 – title
Article 8 – title
Rate and tax allowance
Amendment 159 #
Proposal for a directive
Article 8 – paragraph 1
Article 8 – paragraph 1
1. The DST rate shall be 3%: - 3% over the taxable revenues between EUR 25 000 000 and EUR 100 000 000; - 5% over the taxable revenues above EUR 100 000 000.
Amendment 165 #
Proposal for a directive
Article 8 – paragraph 1 a (new)
Article 8 – paragraph 1 a (new)
2. The taxable person shall receive an annual tax allowance EUR 750 000.
Amendment 172 #
Proposal for a directive
Article 18 – paragraph 5 a (new)
Article 18 – paragraph 5 a (new)
5a. After adoption of this Directive, the Commission shall make a legislative proposal to include in Directive 2013/34/EU as regards disclosure of income tax information by certain undertakings and branches, providing for the total amount of digital service tax paid by a taxable person to the different Member States to be added to the list of obligatory country-by-country reporting standards.
Amendment 182 #
Proposal for a directive
Article 26 a (new)
Article 26 a (new)
Article 26a Sunset clause This Directive shall expire on 1 January 2025. At least 24 months before 1 January 2025, the Commission shall submit a report to the European Parliament and the Council assessing the progress made on developing and applying the revisions to the international corporate tax system at OECD level to adapt it to the challenges arising from digitalisation and on the application of this Directive and shall, if appropriate, present a proposal to amend this Directive.