MEPs want EU financial police force and financial intelligence unit

A vote on the European Parliament's TAX3 Committee's recommendations decided that a new body to tackle European-wide financial crime is wanted by a vast majority of MEPs.

The European Parliament on Tuesday adopted a detailed roadmap towards fairer and more effective taxation, and tackling financial crimes.
The recommendations, adopted by 505 votes in favour, 63 against and 87 abstentions, were prepared over a year by Parliament’s Special Committee on Financial Crimes TAX3.

They range from overhauling the system to deal with financial crimes, tax evasion and tax avoidance, notably by improving cooperation in all areas between the multitude of authorities involved, to setting up new bodies at EU and global level

MEPs, via the vote, decided that the Commission should start work immediately on a proposal for a European financial police force and an EU financial intelligence unit, an EU anti-money laundering watchdog should be set up and that a global tax body should be established within the UN.

A report on which the members were voting said that seven EU countries (Belgium, Cyprus, Hungary, Ireland, Luxembourg, Malta and The Netherlands) display traits of a tax haven and facilitate aggressive tax planning.

Golden visas and passports should also be phased out, with those offered by Malta and Cyprus singled out for their weak due diligence.

Denmark, Finland, Ireland and Sweden were criticised for maintaining their opposition to the digital services tax.

It was decided that The Netherlands, by facilitating aggressive tax planning, deprives other EU member states of €11.2 billion of tax income.

The chair of the special committee, Petr Ježek said, “member states are not doing enough and in the EU, the Council is clearly the weakest link. Without political will, there can be no progress. Europeans deserve better.”

The report adopted today concludes the committee’s year-long mandate, which saw it hold 18 hearings dealing with particular topics of interest, 10 exchange of views with finance ministers and European Commissioners, and four fact-finding missions – to the US, the Isle of Man, Denmark, Estonia, and Latvia.