WRITTEN QUESTION E-1633/00 by Theresa Villiers (PPE-DE) to the Commission. Withholding tax.
Date: 2000-05-29
Institutions: European Parliament, Provisional data
Subjects: EU Member State, Ecofin, European tax cooperation, OECD countries, deduction at source, fiscal policy

13.3.2001

EN

Official Journal of the European Communities

C 81 E/65

The terms of reference for the PHARE service contract (cid:145)Danube project coordination unit 98/99(cid:146) oblige the
contractor (Netherlands Economic Institute) to produce three additional
issues of the (cid:145)Danube Watch(cid:146)
magazine. The United Nations Development Programme (UNDP) and the Austrian Federal Chancellery
decided to finance two and one further issues respectively. They also decided to follow the procedure
chosen by the Commission(cid:146)s contractor for selecting a company that would publish and distribute these
issues of the magazine. This procedure fully conforms with the terms and conditions applying to PHARE
service contracts.

The Commission agrees that the Netherlands Economic Institute must fully comply with the provisions for
financial control and audit as laid out in the Commission(cid:146)s general conditions for service contracts financed
from PHARE/TACIS funds.

(2001/C 81 E/077)

WRITTEN QUESTION E-1633/00

by Theresa Villiers (PPE-DE) to the Commission

(29 May 2000)

Subject: Withholding tax

Following the 1999 Helsinki Summit, the UK press reported that the Commission had agreed to a
sequencing model for the withholding tax, namely that the withholding tax would not be implemented in
the EU without agreement by other countries such as Switzerland and other OECD members. Sources in
the UK Government also suggested that this concession had been secured by the UK Government from the
Commission.

In a letter to UK Conservative MEP Charles Tannock, dated 21 March 2000, Commission Bolkestein wrote
that (cid:145)The EU simply cannot allow itself to become paralysed in an area which is of vital importance to the
proper functioning of the single market, because of fear that other countries may not follow its example.(cid:146)

Could the Commission please clarify which of
these views is correct? Specifically, are there any
circumstances in which it would press ahead with the imposition of a withholding tax in the EU without
obtaining undertakings from other leading OECD countries to impose identical or similar arrangements?

Answer given by Mr Bolkestein on behalf of the Commission

(26 June 2000)

The sequencing approach to which the Honourable Member refers is set out in paragraph 18 of the report
on reinforced tax policy co-operation, as tabled by the Finnish Presidency at the Ecofin Council on
29 November 1999. At this Ecofin Council all Member States agreed on the need to conclude on the basis
of this report. The conclusions of the Helsinki European Council on 10 and 11 December 1999 also refer
to the approaches set out in the report.

The recent Santa Maria da Feira European Council endorsed a report on the tax package agreed by the
Ecofin Council on 20 June (1). It also endorsed the timetable set out in this report, which foresees a step-
by-step development towards realisation of the exchange of information as the basis for the taxation of
savings income of non-residents. Point 2 (c) of the report by the Ecofin Council sets out a timetable for
discussions with key third countries and dependent or associated territories which are to take place prior
to the adoption and implementation of the proposed directive (2).

C 81 E/66

Official Journal of the European Communities

EN

13.3.2001

The Commission is fully committed to this timetable and will assist the Ecofin Council in meeting the
request from the European Council to pursue with determination work on all parts of the tax package so
as to achieve full agreement on the adoption of the directives and the tax package as a whole as soon as
possible and no later than by the end of 2002.

(1) The report by the Ecofin Council is attached to the Presidency conclusions of the Santa Maria da Feira European

Council of 19 and 20 June 2000 (Annex IV).

(2) Proposal for a directive to ensure a minimum of effective taxation of savings income in the form of interest

payments within the Community (OJ C 212, 8.7.1998).

(2001/C 81 E/078)

WRITTEN QUESTION E-1651/00

by Konstantinos Hatzidakis (PPE-DE) to the Commission

Subject: Missing persons following the tragic events in Cyprus

(29 May 2000)

Given that some 26 years after the invasion of Cyprus there has still been no official confirmation (cid:129)
establishing the facts beyond all doubt (cid:129) of the fate of those who went missing during the tragic events in
Cyprus and, in the light of the provisions of the agreement of 31 July 1997 between the two communities,
will the Commission say whether it will take steps in the context of the accession process, involving both
Cyprus and Turkey, to help finally resolve this matter, which is first and foremost a humanitarian issue?

Answer given by Mr Verheugen on behalf of the Commission

(28 June 2000)

to the political problem are mutually reinforcing processes. Further,

The Commission believes that progress towards the accession of Cyprus to the Union and the search for a
the
just and viable settlement
Commission believes that the accession of Cyprus to the Union will benefit both communities and lead
to civil peace and reconciliation in the island. The Commission regrets that it was not possible to find a
political solution before the start of accession negotiations. The Commission still earnestly hopes that
representatives of the Turkish Cypriot community will join the accession negotiations. The United Nations
sponsored proximity talks will resume in Geneva in July 2000. Clearly, the question of missing persons
will have to be definitively addressed within the framework of
these negotiations before a lasting
settlement to the political question can be established.

(2001/C 81 E/079)

WRITTEN QUESTION E-1652/00

by Jeffrey Titford (EDD) to the Commission

(29 May 2000)

Subject: Herbicide (cid:129) Glyphosate

Would the Commission please inform me what steps have been taken to ban the herbicide Glyphosate,
which has hitherto been claimed to be safe? In particular, may I please know what action has been taken
following the recent review of Glyphosate under the European Commission (cid:145)Authorisations(cid:146) Directive?

Please indicate any written reports or other evidence considered by the European Commission. I require
this information under the (cid:145)Transparency(cid:146) provisions applying to the European Commission.