Quote:
Originally Posted by Damien
Because that too would be illegal state aid.
I think it's a problem either way with the EU here. If they don't intervene then what is to stop a race to the bottom where large corporations pit countries against each other to get the very lowest tax rate possible without having to actually base any real part of their operations there? It's fine if it's corporation tax but that's paid for everybody and governments have expenses to cover but if it's unique to the big companies then any nation can offer a pittance of a tax rate just to get some cash and the bigger nations, who've paid for much of the state they profit from, will get nothing.
On the other hand it is intervening in tax policy
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I personally think that tax should be up to the individual country ,i think it better to encourage companies with low tax levels to set up business which then increases employment and further increases the tax revenue of said country .