A response to the European Commission’s findings in its 2014 consultation on investment protection and the investor-state dispute settlement (ISDS) in TTIP, including the four areas for further improvement identified by DG TRADE.
The Commission should work to preserve the highest degree of tax competition between Member States. The CCCTB poses the danger of fundamentally hindering this vital feature of the internal market, and should therefore be reconsidered.
The UK tax system is incoherent. Even ignoring benefits styled as tax credits and the withdrawal of child benefit, taxpayers can face seven different marginal rates of personal tax. In the long term, aiming for significantly lower levels of government spending could facilitate substantial marginal tax rate cuts, and the government should aim to return to a tax system with two, or preferably one, overall marginal rates of tax on income.
It is vital to understand that the impact of nutrition taxes on the consumption of nutritionally poor food is unclear and that there is a sizable risk of instituting additional constraints on the country’s economic activity without getting the expected public health benefits.
The measures proposed by the European Commission are not suitable for achieving a single market in card payment services. On the contrary, the measures proposed by EC would be harmful. The regulations would have the greatest negative effect on consumers, who are likely to incur relatively higher card handling fees, and to lose part of discounts or incentives.
Alcohol policy in Britain and many other countries aims to reduce per capita alcohol consumption in the belief that this will inevitably reduce heavy and harmful drinking. The cornerstone policies of this approach are advertising bans, licensing restrictions and higher taxes.
So‐called “sin” taxes are very much in fashion in France and elsewhere. With the aim of reducing “sinful” behaviour and financing the health care system, public authorities are planning to raise the tax load on alcohol and tobacco even higher.
LFMI made a thorough analysis of European Commission’s proposal for the Tobacco directive (2001/37/EC), related public consultation and scientific evidence which was used in developing the proposal and provides comments and suggestions regarding the proposal.
Western governments have developed unfunded social insurance programmes where retiree benefits are paid for from the taxes of the working-age population. This means that an ageing population leads to rising expenditures that cannot be covered without increasing taxes on the young.