22 September 202
For 25 years, the EU has continued to promote fair tax competition and address harmful tax practices, both within the EU and worldwide.
On the occasion of the informal meeting of the High-Level Working Party on Tax Questions held in Madrid on 21 and 22 September, the Spanish presidency of the Council of the European Union organised a session to commemorate the work the Code of Conduct Group (business taxation). The group was established in 1998 to assess tax measures that may fall within the scope of the Code of Conduct: a political, intergovernmental commitment by member states to identify and assess – based on a number of criteria – tax measures that could be harmful to the tax bases of other member states and the European economy. The group works under the political guidance of EU finance ministers (ECOFIN). It also cooperates with third-country jurisdictions to promote and strengthen tax good governance and carries out work leading to the regular revision of the EU list of non-cooperative tax jurisdictions.
The current chair of the EU Code of Conduct Group, Ms María José Garde, together with the former chairs of the group, reflected on the group’s achievements, the lessons learned during this productive period and the impact of 25 years of the Code of Conduct Group’s activity in the EU and globally. The panellists also exchanged views with the current members of the group and with delegates from the member states and the Commission on the future work of the group and on global challenges.
Background
The Code of Conduct is a political commitment of an intergovernmental nature. The Council’s Code of Conduct Group consists of high-level taxation experts from the member states. Assisted by the Council secretariat, the group is responsible for monitoring possible harmful tax measures in the EU member states. The Commission provides technical support to the group.
The group’s work also has an international dimension, wherein it aims to promote effective changes with regard to worldwide tax good governance through cooperation. The Code of Conduct Group carries out the technical work, screening and assessment which leads to regular revision by the Council of the EU list of non-cooperative jurisdictions for tax purposes. This EU list is revised regularly following an in-depth review of the implementation of commitments made by all third-country jurisdictions that are part of the process. In this context, the group and its chair are conducting political dialogues with some 90 jurisdictions worldwide.