Commission launched two public consultations on EU measures to fight tax evasion

The European Commission launched two public consultations on specific measures which could improve tax collection - EU Tax Identification Number (EU TIN)- and ensure better tax compliance across the EU - the EU Taxpayer's Code. The consultations will run until 17 May 2013.

Two public consultations were launched by the European Commission on EU Taxpayer's Code and EU Tax Identification Number. In particular, the first consultation is on the development of a European Taxpayer's Code, which would clarify the rights and obligations of both taxpayers and tax authorities. The second consultation is on a European Tax Identification Number (EU TIN), which would facilitate the proper identification of taxpayers in the EU. Both the Taxpayer's Code and the EU TIN were among the measures proposed by the Commission last December in its Action Plan to tackle tax fraud and evasion.

The European Commission stressed that the aim of the public consultations is to gather examples of best practices in the member states on collecting data on taxpayers' identities as well as taxpayer compliance and transparency. The results of both consultations will be used to identify and develop the appropriate policy responses by the end of 2013.

Most member states have established taxpayer's codes to define the rights and obligations of taxpayers and tax authorities. However, these codes vary considerably from one Member State to another. They also find it increasingly difficult to properly identify taxpayers, given the increased mobility of people and more cross-border nature of economic activity. This can undermine national efforts to properly collect taxes, lead to situations of double non-taxation, and even facilitate tax fraud and evasion.