New Post-Pandemic Recovery Fund

New Post-Pandemic Recovery Fund
05 July 2021

The European Union’s Institutions are instituting a new Post-Pandemic Recovery Fund plan that will introduce a new business tax. This levy will particularly affect European companies.

Last year, the 27 Member States reached an important agreement to borrow an amount of €750 billion for a post-pandemic recovery fund. This loan is expected to be paid back during the next 30 years, mostly coming from tax levies on the digital economy and on CO2 emissions.

This agreement, which has been crafted by the Organization for Economic Cooperation and Development (OECD), traces new pandemic recovery plans funded by a minimum tax rate of 15%. According to the Executive Vice President of the European Commission for a Europe Fit for the Digital Age, Margrethe Vestager, companies which pay very little or nothing in taxes, will contribute in the societies where they do their business, if the tax authorities have the resources to claim the taxes.

Vestager added that the European Commission is preparing to make a formal announcement on July 14, to explain the details of the plan. She also confirmed that this agreement will be addressed to many European companies and concluded by saying the companies should see it as a normal cost of doing business in Europe.


Related news

Effective implementation and enforcement of EU trade agreements and international trade rules have added €5.4 billion to EU exports in 2020. This confirms that European...
More details EU exports increased by more than €5 billion in 2020
The Commission adopted today its State of the Energy Union Reports for 2021, taking stock of the progress that the EU is making in delivering the clean energy transition,...
More details State of the Energy Union 2021
This weekend, the Conference Plenary will discuss reports from the European Citizens' Panels, national panels and events, the EYE and the Platform. In this Conference Plenary...
More details Conference on the Future of Europe: Plenary

Stay in touch with us!

For more information about our services and working opportunities at our company, do not hesitate to: