Juncker Blocked Secretly EU's Anti Tax Avoidance Efforts

European Commission President Jean-Claude Juncker faces renewed pressure as the leaked documents show he secretly blocked EU efforts to tackle tax avoidance by multinational companies during his time as Luxembourg's Prime Minister.


Juncker has already previously faced criticism from lawmakers over tax deals made during his service as Luxembourg Prime Minister. Luxembourg has been criticized for its Amazon and Fiat cases which included favorable arrangements for multinationals. Recently, the GDF Suez (now Engie) has been put under investigation due to breach of the EU's state aid rules.

Protecting Country's Tax Regimes

Leaked documents from the international consortium of investigative journalists and the German radio group NDR are said to reveal "how a small handful of countries have used their seats on the code of conduct group on business taxation to frustrate concerted EU action and protect their own tax regimes". It was also said that Juncker had spent years blocking EU attempts to tackle corporate tax avoidance. Euro lawmakers call on him to appear before an EU parliamentary committee of inquiry.

Obstructive Manoeuvres

The years' worth of confidential German diplomatic cables provide a candid account of Luxembourg's "obstructive manoeuvres" inside one of Brussels' most secretive committees, said De Masi, a Vice-Chair of Parliament's committee of inquiry into money laundering, tax avoidance and tax evasion (PANA) in Parliament.

Sources: Reuters, The Parliament Magazine

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