Menu
  • Home
  • About
  • Questions and Answers
  • Insights
  • Contact
  • en
  • de
  • el
  • Home
  • About
  • Questions and Answers
  • Insights
  • Contact
  • en
  • de
  • el

Taxation

Home/Questions and Answers/Taxation

How come that company founders of small enterprises pay a lot of taxes when at the same time large groups (especially in the digital industry) generating billions in sales pay very little?

33 views November 20, 2018 November 30, 2018 cfroagents 0

DIG TAX DEPT: it’s very complex and that the initiative that the EC has come out with aims to tackle issues which caused by the direct tax systems. But the problem basically is that the way business is conducted has moved way faster than the tax systems and obviously it will take time to update them. On an international level this update has to be agreed , and that’s where INTERIM which the commission has proposed in the form of the DSE comes into place. So, I think that your answer doesn’t have to do with the fact of doing things wrong or right but it relates to the fact that realities in corporation and in tax systems and legislation has simply moved away from each other and for that we need to change legislation but such things take time. But behind your question there lie political issues as for example the fact that the tax system has not been modernized quickly enough is a political matter.

CFRO AGENT: So basically you are saying that the EC hasn’t been keeping up with the development of these companies? And they still don’t know how to regulate them properly?

DIG TAX: What you should have in mind is that tax is implemented on a national level and not on an EU level.

Answered by: European Commission’s Digital Tax department

Leave a Reply Cancel reply

Your email address will not be published.

Was this helpful?

Yes I have more questions
Related questions
  • There is a lot of discussion about tax evasion and tax havens. Do you think there is any progress in this front? Are there any tangible examples?
  • Are CUM EX share deals still happening, and why is/was it not illegal?
  • Why can banks and financial investors involved in CUM EX extract these huge amounts of tax money and nobody notices it?How did CUMEX deal go unnoticed for such a long time? What went wrong with the regulatory system that allowed this to go on?
  • What’s the deal with offshore banks?
  • What is the tax on investment income compared to the tax on labour income in European countries?
  • Why is the Tobin tax not introduced yet?
Leave A Comment Cancel reply

(It will be shown after approval)


    • Alternative Policy Paradigm / Unorthodox Economics
    • Cashless Society
    • Consumer protection
    • Financial Crisis
    • Greek situation
    • Green Banking / Environmental Issues
    • Mega-banks
    • Moral Issues
    • Other / Unorthodox Questions
    • Policy & Regulation
    • Taxation
    • Theory

    The CFRO is moving house and are currently not available to answer questions.

    About CFRO

    The Civil Financial Regulation Office (CFRO) is a citizens initiative supported by the German Federal Foreign Office, the Rosa Luxemburg Foundation, the Schöpflin Foundation and Peng!-collective. More about us here.

    • 1998 Peng! Media Co. Manufactured by Sociality. GNU Free Documentation License v1.3