Re-launch of the proposal for a Common Consolidated Corporate Tax Base (CCCTB) in the EU: a shift in paradigm

Abstract:

The European Commission has recently announced that it will revisit its earlier draft legislation on Common Consolidated Corporate Tax Base (CCCTB). The article analyses the CCCTB relaunch and investigates changes in the new policy move.

With the exception of the new CCCTB regime for companies, no other significant departure is apparent in the ultimate long-term objectives of the revised plan. However, this article argues that there is a remarkable shift in the pursuit of a path towards a CCCTB system. It evaluates the changed course of action against the European constraints and integrational theories as well as the growing global imperatives of contemporary tax policymaking pursuant in particular to the Base Erosion and Profit Shifting (BEPS) project.

The study concludes that the new direction set forth by the Commission is pragmatic and it is likely that the shift may, for the first time in European history, result in tangible progress on rules for a common tax base in the single market.

ESO: Proposal for a Council Directive on a Common Consolidated Corporate Tax Base (CCCTB) [COM(2016)683] http://www.europeansources.info/record/proposal-for-a-council-directive-on-a-common-consolidated-corporate-tax-base-ccctb-2/

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