Local view for "http://purl.org/linkedpolitics/eu/plenary/2005-12-01-Speech-4-133"
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"en.20051201.30.4-133"2
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".
Fifty years ago, two Frenchmen, Maurice Lauré and Georges Egret, invented the greatest piece of technology in the history of taxable humankind: the VAT system, applied by more than 123 countries, including EU countries from the time of the first directive in 1967.
In the 1990s, the monotheistic religion of the single market sought a single VAT rate whose cross-border legal system had to be that of the Member State of origin of the transaction and not the Member State of consumption or of destination.
The danger was that a Continental compensation fund would be created, a huge labyrinthine system distributing the VAT receipts from intra-Community trade.
The unanimity of the Member States enabled the Council to impose taxation on a ‘temporary/permanent’ basis in the sovereign country of consumption.
The intelligent move to make today would be to put European labour on an equal footing in terms of taxation with international labour, by turning the page on a century of mistakes and doing away with the idiotic tax on labour.
Likewise, the inspired system of reduced VAT rates must be used to clone import duties in order to levy deductible input tax on them, for the benefit of exporters, thus curing the economic and social diseases of globalisation, with its relocations and unemployment."@en1
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