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Investing.com -- The European Commission is planning to introduce a new levy on large companies as part of its upcoming seven-year EU budget for 2028-2034, according to media reports.
The proposed levy would apply to companies with a net annual turnover of at least €50 million that are resident in Europe for tax purposes, regardless of where their headquarters are located. The amount would be graduated based on turnover, with larger corporations paying more.
Additional revenue proposals include taxes on uncollected electronic waste and e-commerce packages from abroad, an increase in the plastic tax, and claiming a share of revenue from tobacco taxes and emissions trading.
The Commission is set to present the draft today, which will serve as the foundation for two years of negotiations with member states and the European Parliament. The proposals are expected to face criticism and resistance.
The additional revenue would help repay increased debt incurred during the pandemic. Under EU treaties, higher own resources would keep the total budget unchanged while reducing national contributions from member states.
This approach would ease financial pressure on member states but could potentially challenge their national taxation authority. Previous attempts by the Commission to increase its own resources have not succeeded.
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