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Corporate tax arrangements in Luxembourg means billions are lost to national coffers elsewhere (Photo: Cesar Poyatos)

Firms in EU tax havens cannot be denied Covid bailouts

EU states cannot ban Covid-19 bailouts to companies based in tax havens within the EU, such as the Netherlands or Luxembourg.

The European Commission on Wednesday (29 April) told reporters member states must comply with freedom of capital rules outlined in the EU treaty.

"This means they cannot exclude companies from aid schemes on the basis of headquarters or tax residency in a different EU country," said a European Commission spokesperson.

The comment follows moves by Denm...

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Author Bio

Nikolaj joined EUobserver in 2012 and covers home affairs. He is originally from Denmark, but spent much of his life in France and in Belgium. He was awarded the King Baudouin Foundation grant for investigative journalism in 2010.

Corporate tax arrangements in Luxembourg means billions are lost to national coffers elsewhere (Photo: Cesar Poyatos)

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Author Bio

Nikolaj joined EUobserver in 2012 and covers home affairs. He is originally from Denmark, but spent much of his life in France and in Belgium. He was awarded the King Baudouin Foundation grant for investigative journalism in 2010.

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