WRITTEN QUESTION E-1688/02 by Stavros Xarchakos (PPE-DE) to the Commission. Incentives to reverse the downward trend in the birth-rate.
Date: 2002-06-12
Institutions: European Parliament, Provisional data
Subjects: EU Member State, EU policy, Greece, births, competence of the Member States, demographic analysis, family benefit, fiscal policy, large family

C 28 E/128

Official Journal of the European Union

EN

6.2.2003

Member State, the place of taxation remains Member State A in accordance with Article 9(1) of the Sixth
VAT Directive and Member State B cannot require the person to pay tax on the transaction. For the
purpose of calculating the amount of VAT due, the place of taxation first has to be determined. Only then
is it possible to determine who is required to pay. Once the place of taxation has been established, it is the
legislation of the Member State of taxation which decides who is required to pay the VAT in its territory
and it is therefore impossible for double taxation to occur whatever the provisions concerning liability for
VAT.

(1) OJ L 269, 21.10.2000.

(2003/C 28 E/145)

WRITTEN QUESTION E-1688/02

by Stavros Xarchakos (PPE-DE) to the Commission

(12 June 2002)

Subject: Incentives to reverse the downward trend in the birth-rate

in Greece, the situation is particularly acute. It is
Low birth rate is a major problem in Europe and,
estimated that from 2015, the country’s population as a whole (which in any case is showing only
marginal upward movement) will begin to fall. In Greece, a family is defined as ‘large’ if it consists of four
or more children. Such a family qualifies for a small monthly allowance per child from the Greek state,
though this is added to the family’s total taxable income, thereby taking it into a higher tax bracket and
increasing its tax burden.

Are there countries in the Union where families with fewer than four children are defined as ‘large’? Are
there countries in the Union in which the monthly child benefit is not added to the total family income,
thereby avoiding paradoxical situations such as those which arise in Greece? Is there any possibility of
promoting common Community legislation to tackle the problem of the low birth rate at EU level as a
whole, setting two children as the threshold above which Member States should provide generous financial
incentives to encourage young Europeans to have larger families?

Answer given by Mrs Diamantopoulou on behalf of the Commission

(9 July 2002)

The Commission shares the concerns expressed by the Honourable Member in relation to the low fertility
levels observed over recent decades in the Union, and in particular in Greece and other Mediterranean
countries. However, the setting up of policies regarding family and fertility issues remains the responsibility
of Member States, the Commission does not have a legal basis to develop policies in this domain. The
Commission is focusing on the study and monitoring of demographic trends, including fertility trends, as
they have an important impact on Community policies.

In this context, the Commission is undertaking the following activities:

(cid:1) the Commission publishes each year a report on ‘the Social Situation in the European Union’, in
which the evolution of fertility and other demographic trends, as well as their consequences in the
social field, are analysed;

(cid:1) at the same time, the Commission (co)finances every year studies analysing the main demographic and

social trends, including the causes of low fertility;

(cid:1) finally, the Commission finances the European Observatory on the Social Situation, Demography and
Family in order to monitor the related policies in the Member States. More information can be found
at
(http://europa.eu.int/comm/employment_social/family/observatory/
the
home.html).

following website: