Why we don't need web taxes

The crusades against this or that group are useless: the EU should do its part, harmonizing the taxation of the 27 without tricks. And push to conclude the international agreement with the OECD

(Photo: Brian Lawless / PA Images via Getty Images) The European Commission has its weapons sprouted against digital giants. The Court of Justice of the Union has in fact quashed the sentence with which four years ago Brussels, in general jubilation, imposed on Apple to pay 13 billion euros of unpaid taxes to Ireland, requiring the country to recover them. Which the Dublin government hasn't dreamed of doing for nearly a decade. According to the Luxembourg court, in fact, "the Commission was wrong to declare that Apple had a selective advantage and therefore, by extension, state aid". Adding that the Commission should have shown that the income represented the value of the activities actually carried out by the Irish branches. In short, for the Court that taxation does not constitute an anti-competitive advantage also because it would apply to everyone and would not be the result of a special agreement with Apple, at least not too different from many others. In addition, the Commission has failed to demonstrate even any problems and errors in the "tax ruling", that is, precisely in the international tax agreement so advantageous for Cupertino.

That pact, which grants the Court, is incomplete and sometimes inconsistent ” but does not define State aid. In the meantime, Apple had shed nearly $ 14 billion into a blocked account that Dublin has never wanted to touch, just waiting for the conclusion of the story. That will obviously have a following with the appeal of Brussels against the decision. From its part the irish government, in the framework of the limits of paradoxical since it is part of the same Union that instead of beating cash by always, welcomed: the minister of Finance, the irish Paschal Donohoe, who do so much to add a touch of surrealism is also the new president of the Eurogroup, has explained that “ there was never any special treatment ” for Apple, taxed according to the rules in force in the country. Those, in short, they apply to all. With good peace of the fact that the Apple and many other companies are able to move in the manner of fictitious profits collected around the Eu and to subsidiaries of the irish, but also Dutch law or uk (just think of Scotland, the isle of Man or to those of the Sleeve), dodging the taxes on the profits generated from sales in Europe. All regular, unfortunately.

On the other hand the problem may not be just Apple but it should affect the trim tax committee and all the companies that ride with the rich savings. Useless crusades against this or that, if the first gap in the Union has it in the house, why not have the courage to reform and comply with under this aspect, providing the driving force for the rest of the world. As long as they are for example possible games like the famous “ Double Irish with a Dutch Sandwich ”, a mechanism of tax optimization, that make payments between companies in ireland and often the Dutch for a web of profits that end up often in some offshore company, every battle runs the risk of remaining a exercise sacrosanct, but from the aftertaste populist.

Margrethe Vestager, the holder of the Competition in the Brussels executive and vice-president, currency and now the appeal and recalls that in 2011 the company's subsidiary in ireland, Apple has earned a european for about 16 billion euros but under the tax law, only 50 million have been considered taxable in Ireland. “ The Commission fully supports the goal that all companies should pay their fair share of tax. If member states grant to certain multinational companies tax advantages not available to their competitors, thereby undermining fair competition in the Eu, ” said Vestager. Right. Then, what do you expect the european authorities to switch off the misconduct of tax of individual countries and to agree to the 27 towards a common framework?

“ it's Not about tax havens, but the risk in some Eu countries there are policies of aggressive tax planning in order to attract businesses, a risk that harms the playing field in the single market", explained Paolo Gentiloni , the Eu commissioner for the economy – as regards the Netherlands our reviews are those contained in the recommendations where you put the emphasis on the risks of fiscal policies that are aggressive in some countries, a situation that affects 5-6 states ” of the Union. In addition to the Netherlands, have received directions to change these situations Cyprus, Malta, Luxembourg, Ireland, Hungary. They are always their, it is clear to anyone that they play dirty in a structure of rules that allows you to do so . Why, for example, do not ask directly those 13 billion to Ireland , rather than to Apple, calcolandole as losses for taxation of all Eu countries where the Apple has sold its products and services? Make it economically responsible to the member for non profits taxed of european operations could be the key to neutralizing these approaches. I bet that Dublin attingerebbe immediately, and profusely, to the account opened by Apple.

Outside of specific cases, the point is that the maximulte serve up to a certain point, if the goal is to counteract substantive tax avoidance. We do what we can, give the impression of a victory in the key relief that, however, is often little more than a nuisance to budget for these giants, and very little change in the perspective of having more resources, structurally available, to finance the european services, to try to reduce the inequality and – even more so given the period – the disasters deepened by the pandemic.

The attitude of some names is certainly sometimes unsustainable, because it is part of a social and economic context devastated in many countries and consolidates a path that has made these groups of organizations as powerful as, and more of the same, capable of moving investment and labor force, lobbying, and find always the right way and more convenient to move around in the maze of the tax world. But we can not expect that you change the rules by yourself, and maybe, the key is worse (according to the Beps, the office of the Oecd that deals with these issues, the different systems allow you to save money each year 240 billion euro of taxes ): tax reform international discussion at the Oecd for the digital economy since 2017, it should reach to the finish line. There is no other way.

we Must therefore change the rules and do it immediately, instead of relying on useless boycotts or campaigns for the same: taxing the services sold in a country beyond the availability of a physical location and establish a minimum threshold that is equal for all , under which you can claim compensation in an automatic way seem to be the two aspects which are the starting point. If in Ireland, where tax on business income is 12.5% while the european average is 21.3%, there is therefore the need to set a level below which it is not possible to go. If you do this, the government must undertake to ask for a compensation or will be obligated to pay, directly. The web tax , from the sun, you need more to the picture to social justice. And the giants know this very well.