Reforming the EU Financial Tax Framework

by name voted on 07.07.2026

Summary

The report proposes reforming the EU's fragmented financial tax system, specifically targeting outdated VAT exemptions and uncoordinated national taxes to boost competitiveness and investment.

10 07.07.2026

Report

economy

finance

taxation

administrative reform

business and competition

public finance and budget policy

information technology and data processing

Key points

The current EU financial tax landscape is highly fragmented, with 91 different national taxes used to compensate for the lack of VAT revenue.
The existing VAT exemption for financial services is outdated, having been established in 1977 due to technical limitations that no longer exist thanks to digitalization.
Tax fragmentation acts as a barrier to the single market, effectively imposing high costs on cross-border financial services.
Modernizing tax rules is essential to support the rise of fintech and digital-only banks, ensuring they compete fairly with traditional institutions.

Vote

PPE

S&D

PfE

ECR

Renew

Verts/ALE

The Left

NI

ESN

Total

Documents (PDFs)

DRAFT REPORT on a coherent tax framework for the EU's financial sector REPORT on a coherent tax framework for the EU's financial sector A coherent tax framework for the EU’s financial sector

These raw data are provided by the Open Data Portal of the European Union (data.europa.eu) and are licensed under ODC-BY 1.0.