fiscal-taxation

September 30, 2025

Draghi’s Dilemma: Competitiveness, Great Power Competition, and Europe’s Next Move

A year after the release of the Draghi Report, little progress has been made in implementing the reforms that were mapped as urgent. The current political rhetoric of the Commission calling for Europe to wake up and calling for urgency in implementing reforms, is inconsistent with the pace of action.
September 3, 2025

Predictable Defeat for the EU in the Tax War Against Trump

The tax war between the US and the EU appears to be over. It was triggered by the EU’s minimum tax on, among other things, foreign subsidiaries whose parent companies do not pay at least 15% tax on their accounting profits.
June 6, 2025

Schuldenbremse: Taking the Foot Off the Brakes

In March, the incoming German coalition government led by Friedrich Merz from the right-leaning CDU/CSU – the Christian Democratic Union of Germany and the Christian Social Union based in Bavaria – worked with the SPD (Social Democratic Party) and the Greens to pass a historic legislative measure, loosening the stringent rules surrounding the country’s ‘debt brake’ constitutional amendment, known as the Schuldenbremse.
May 22, 2025

Europe’s Defence Spending Surge: Fiscal Flexibility or Budget Dodge?

Bulgaria and fifteen other member states have declared their intention to increase (in a coordinated manner) their defence spending without violating the new EU fiscal rules framework. Simply put, the budget deficit will be allowed to exceed 3 per cent of the GDP for the period 2025–2028 if it is allocated to additional military spending, whether in the form of investments or recurrent expenditures.
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