“New own resources should fulfil the criteria of simplicity, transparency, predictability, and fairness.”
One would think that the above recommendation came from a Tax Foundation report on principled EU own resources policy. While we would like to claim credit, the recommendation, rather, comes from the EU’s own 2016 Monti report and more recently, the EU’s 2020 Institutional Agreement on new own resources.
When policy is designed on these sound principles, governments can raise sufficient revenue, support the economy, and chart a path toward a successful tax system. The recent EU VAT reform on e-commerce is an example of this win for governments, consumers, and companies.
Source Tax Foundation
