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BackThe European Commission announced its intention this week to carry out an investigation throughout 2012, whether cross-border and seasonal workers are being disadvantaged from a tax point of view. According to the Commission, the elimination of tax disadvantages is an important factor to promote the mobility of workers.
In 2010, more than 1.2 million people in the European Union were employed as cross-border workers. The wages from these activities amounted to ca. EUR 46.9 billion. From the point of view of the Commission, tax hurdles would prevent many people from seeking employment in another EU country. The current investigations shall now establish whether discriminating circumstances exists, and if so whether these violate the fundamental freedoms of European Union. Should this be the case, the Commission intends in a first step to inform the Member States affected and to ask them to implement relevant changes. Should no adequate adjustments be put in place, the Commission intends to initiate infringement procedures against the respective Member States.
In the opinion of the Commission, taxation would be one of the largest obstacles for workers and employees to work in another EU country. Action had to be taken against double taxation and posted workers had to be better protected, said the responsible EU Commissioner for Taxation Algirdas Šemeta.
In the opinion of the Commission, taxation would be one of the largest obstacles for workers and employees to work in another EU country. Action had to be taken against double taxation and posted workers had to be better protected, said the responsible EU Commissioner for Taxation Algirdas Šemeta.