Tax evasion and avoidance - is this another sign that Europe is taking it seriously?

I receive a daily e-mail from the European Parliament, of my own free will, it might surprise readers to know. Generally, they're all a bit... well, dull and far too vast to read. However, occasionally, there is something that catches my eye...

The European Parliament as a whole voted on Thursday to set up a special parliamentary committee to look into EU member states' "tax rulings and other measures similar in nature or effect" and make recommendations for the future. The committee will have 45 members and is established for an initial period of six months.

Result of the vote: 612 in favour, 19 against and 23 abstentions. The composition of the committee was approved by a show of hands.

Mandate

The committee will look into tax ruling practices as far back as 1 January 1991, but will also review the way the European Commission treats state aid in member states and the extent to which they are transparent about their tax rulings. It will also seek to ascertain the negative impact of aggressive tax planning on public finances and will come up with recommendations for the future.

The list of committee members includes Anneliese Dodds (S&D, UK), Kay Swinburne (ECR, UK) and Patrick O'Flynn (EFDD, UK)

Background

The committee is being set up in the wake of a series of investigations launched by the European Commission into tax rulings for multinational companies in Luxembourg, Ireland, Belgium and the Netherlands.

Economic and Monetary Affairs Committee plans to draw up an "inquiry" report (non-legislative, own initiative), on tax rulings will now lapse, because its remit would have overlapped that the special committee.

So, one Conservative, one Labour and one UKIP, and it will be interesting to see whether or not they intend to focus on solutions or soundbites. I particularly look forward to Patrick O'Flynn's thoughts on tax harmonisation and sovereignty...