Thursday, May 26, 2016

No taxation without representation. But the EU wants to tax us directly.

To whom do we pay taxes?  Well, that’s an easy one to answer.  To the government we have elected. 

But how do you fancy paying taxes to someone you didn’t elect and can’t get rid of?  Not like that idea? Me neither.

So what if I was to tell you that the EU has had a bright idea.  How about I told you that the EU is aiming to introduce a centrally planned National Insurance-style numbers for every taxpayer in Europe?  Yip, that is one of the facts that seems to have accidently slipped out in recent days.

It is called, rather chillingly, a ‘European Taxpayer Identification Number’ to keep track of every EU citizen.
And here are the facts in words.  The official European Commission text:
“Proper identification of taxpayers is essential to effective exchange of information between tax administrations. The creation of European Taxpayer Identification Number (EU TIN) would provide the best means for this identification.  It would allow any third party to quickly, easily and correctly identify and record TINs in cross-border relations and serve as a basis for effective automatic exchange of information between member states tax administrations.”

But we don’t pay our taxes to the EU.  We pay our taxes to our elected UK government that then sends, with our effective agreement, payments to the EU.  So why would we need this European Taxpayer Identification Number, Mr Cameron?  I don't recall you waving that bit of paper arriving back from Brussels.

One of the other things the EU wants to do is take over member states’ corporate taxation powers.  This would mean we would have a common corporation tax base across the EU.  So we would not be able to adjust our tax rates if it was going to be useful or advantageous to do so.  If that is not a direct assault on our sovereignty I am not sure what is.

It seems the people in the EC have learned nothing from the debacle that is the Euro.  It was this same size fits all economies that is the death knell of the Euro.  It has been a disaster for the poorest nations in the EU.  And when you crush economies like that, you build up resentment.  And we all know where that can lead.

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