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Originally Posted by Hugh
Like any legal agreement, there are fees and charges if you leave early to cover outstanding costs incurred.
Simples...
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But with legal agreements any potential costs are set out in advance.
The money is not fees or charges, but is tax-like in nature. It is connected to GDP and other variable measures. The final figure paid in any year changes as economic figures for that year are updated. If you move to another country, you are no longer liable for tax in the country you have left. If there is some sort of tax liability remaining, you usually keep voting rights in that country.
Part of the basis for the figure arrived at, was the setting of a 5 year budget plan. Just as well the budget plans are every 5 years and not 10 or more, or we would have have to be paying even greater sums. There is no varying agreed amount that countries pay in. So when a budget is set there is NO actual agreement by any country to pay anything in.
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The EU budget is funded from three main sources: - Member State contributions, based on a percentage of their Gross National Income
- Import duties on goods entering from outside the EU
- A percentage of each Member State’s national VAT rate
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Those are taxes.