Today the Eurogroup discussed common principles for reducing the tax burden on labour.

The overall tax burden in the euro area is above the OECD average and is skewed towards labour. In view of the need for fiscal consolidation, the tax burden on labour has also been growing over the last few years. This is a clear impediment to an efficient and smooth functioning of euro area labour markets and runs counter to the objective of boosting economic activity and increasing employment, in particular given the high unemployment level in several euro area Member States. Reducing the tax burden on labour has the potential to support consumption, stimulate labour supply and employment, as well as to improve cost-competitiveness and firms' profitability. It will therefore increase demand, growth and support job creation, and contribute to the smooth functioning of the EMU. Against this background, the Eurogroup reaffirms its commitment to effectively reduce the tax burden on labour. 



Informatiesoort: Nieuws

Rubriek: Inkomstenbelasting, Europees belastingrecht, Loonbelasting

H&I: Previews


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