Local view for "http://purl.org/linkedpolitics/eu/plenary/2005-12-01-Speech-4-015"

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"en.20051201.3.4-015"2
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". Mr President, indirect taxation is a basic lever for fleecing grass-roots income and is therefore anti-grass roots. Constant tax exemptions for big business and its profits, on the pretext of increasing investments, are accompanied by a simultaneous increase in indirect taxes and a reduction in grass-roots income. That is why we are expressing our opposition to all forms of indirect taxation and, in particular, to the value added tax system as it operates today. Just recently in my country, the Greek Government, implementing faithfully the dictats of the Stability Pact, increased VAT by one percentage point. At the same time, some people are saying that, under pressure from the Commission, there may be a further increase. Of course, for the profits of companies a tax cut of 10 percentage points has been promoted. It is ironic, but we may ultimately arrive at the paradoxical position of being in favour of a ceiling of 25% on VAT, because then we can be sure that it will not go up any further. The rates of 15 to 25%, which allow no distinction between immediate necessities and luxuries, the uniform rates which require the poor worker and the rich businessman to pay the same excise and tax toothpaste at the same rate as a yacht, are often higher than the rates at which big business is taxed directly. There are even proposals to abolish graduated direct taxes and create a standard rate which will be the same rate as for indirect taxes. The fact that the experimental directive allowing a lower rate of VAT for labour-intensive services cannot be applied generally is typical of the uniform strategy of big business and of capitalistic infighting. The period of application of this directive, which allows the Member States to apply reduced VAT rates to certain activities so that the corresponding jobs can at the same time be maintained, has been extended twice. It has not been possible so far to apply it generally to all the Member States, which is precisely why it is representative of the disagreements. We are fighting together with the workers for the protection of grass-roots income, for the abolition of indirect taxes and the application of a progressive income and capital tax policy in order to stop the workers, pensioners, unemployed and grass-roots classes in general from picking up the tab and to stop taxes from being one of the tools for redistributing the workers' income for the benefit of big business."@en1

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