EC president proposes EU financial transactions tax

International Tax Review is part of Legal Benchmarking Limited, 1-2 Paris Garden, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2025

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

EC president proposes EU financial transactions tax

The European Commission president has today proposed a Europe-wide financial transactions tax to help vitalise public finance across the region.

José Manuel Barroso used his annual State of the Union address to the European parliament to outline the tax, calling it a “matter of fairness”.

“We are at a crucial moment in history because if we do not move forward with more unification, we will suffer fragmentation,” said Barroso.

“Some people will ask ‘Why?’. If our farmers, if our workers, if all the sectors of the economy from industry to agriculture to services, if they all pay a contribution to the society also the banking sector should make a contribution to the society,” he added.

“We cannot afford to turn a blind eye to tax evasion. So it is time to adopt our proposals on savings tax within the European Union. And I call on the member states to finally give the Commission the mandate we have asked for to negotiate tax agreements for the whole European Union with third countries.”

A European financial transactions tax has been widely supported by Germany and France but has facde staunch opposition from a number of countries including the UK.

Barroso did not reveal details of his plan, except to outline that it is expected to raise €55 billion a year.

More to follow.

more across site & shared bottom lb ros

More from across our site

Wim Wuyts, who had been head of the specialist tax network since 2017, is moving on to a new role with WTS’s Belgian member firm
MNEs are increasingly using algorithmic tools in TP. Sahasranshu Dash argues that data ethics should therefore plug directly into the TP design process
The Institute of Chartered Accountants in England and Wales also queried whether HMRC resources could be better spent scrutinising larger entities
Grant Thornton’s Austria tax head likens his practice to an escape room, shares his football coaching ambitions, and explains why tax is cool
Awards
ITR is delighted to reveal all the shortlisted nominees for the 2025 EMEA Tax Awards
Awards
ITR is delighted to reveal all the shortlisted nominees for the 2025 Asia-Pacific Tax Awards
The fates of pillars one and two hang in the balance after the US successfully threw its weight around in G7 and Canadian negotiations
Rafael Tena tells ITR about the ‘crazy’ Mexican market, ditching the hourly rate, and refusing to grow his fledgling firm in an ‘unstructured way’
It should be easy for advisers to be transparent about costs, Brown Rudnick partner Matthew Sharp said in response to exclusive ITR in-house data
The sprawling legislation phases out Joe Biden-era green tax incentives for businesses; in other news, the UK will reportedly maintain its DST despite US pressure
Gift this article