• ACCA believes that enhanced cooperation will be at the foundation of improvements to tax systems across the European Union. • The urgency of accommodating the challenges of the Green Deal to improve society has been highlighted by the impact of the Covid-19 pandemic on people and public finances. • As businesses focus on adapting to change, the benefits of a simplified tax environment will be greater than ever, and ACCA welcomes the potential for progress in this direction.
Brussels: 15 July 2020
ACCA (The Association of Chartered Certified Accountants) supports the call made by Accountancy Europe and CFE Tax Advisers Europe highlighting three areas for policymakers in which the current tax system could be improved whilst longer term reforms are being developed. ACCA is also a firm believer that cooperation and collaboration, responsibility and accountability are key for success.
Jason Piper, head of business law and taxation at ACCA says : 'Tax systems and businesses are both essential to a healthy and properly functioning society, and the forthcoming proposals on “administrative cooperation in the field of taxation” offer the promise of enhanced mechanisms, which will make life easier for tax payers and tax officials. The Covid-19 pandemic has brought into focus the importance of business of every size and every type to our communities, and we fully endorse the recognition that cooperative compliance needs to be as much a reality for SMEs as for multinational business.'
ACCA also recognises that the sudden push to online operations for business has accelerated the adoption of technologies such as digital payment and e-invoicing.
'In our global, digitalised world, the expected measures regarding the use of digital solutions on the one hand, and on improving administrative cooperation with non-Member States in order to combat cross-border VAT fraud on the other, are more needed than ever', Jason Piper adds.
For the global accountancy body, which has ethics at its heart, the expected communication on "good governance in tax matters in the EU and beyond" is also good news.
Jason Piper explains: 'The 1997 "Code of Conduct for Business Taxation", which sets out the criteria for assessing potentially harmful tax measures, needs to be revised to better reflect where we are today - and where possible for tomorrow’s realities. As advocated in our latest Global Policy position on Taxation, tax laws in many jurisdictions were constructed for a different era of business. ACCA therefore calls for clearer and simpler tax laws reducing uncertainty.
'While debates will continue about taxation, the heart of the matter is whether tax laws, especially for corporates, reflect the new business models of the 21st century and consumers’ wider ethical expectations. The accountancy profession is and should be part of the solution. Professional accountants need to continue their work with policymakers to develop approaches that work for business and allow companies to be competitive and profitable, while also meeting wider considerations of social responsibility', Jason Piper concludes.
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For media enquiries, contact:
Cecile Bonino-Liti, ACCA Brussels
Tel:+32 (0) 2 286 11 37
Mob: +32 (0) 493 29 17 66
Notes to Editors:
About ACCA: ACCA is the Association of Chartered Certified Accountants. We’re a thriving global community of 227,000 members and 544,000 future members based in 176 countries that upholds the highest professional and ethical values.
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