Progress on EU public CbCR is a significant move forward on tax transparency
In what has been described by tax justice campaigners as a landmark move forward on tax transparency, the EU ministers in the Competitiveness Council (COMPET) agreed on February 25 that public CbCR should be introduced.
The proposal only passed after Slovenia and Austria supported it. However, the legislation needs to include certain safeguards and be limited to reporting requirements on companies in EU member states or in the jurisdictions listed on the EU tax blacklist.
Although 14 countries backed public CbCR, ministers representing Germany, Ireland, Luxembourg, Malta, Sweden, Czech Republic, Hungary, and Cyprus were either against it or abstained. If all countries choose to formally adopt the proposal in writing next week, the measure will move forward to negotiations in the EU Council and EU Parliament.