Amended proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL establishing an action programme for taxation in the European Union for the period 2014-2020 (Fiscalis 2020) and repealing Decision N°1482/2007/EC
Date: 2012-08-29
Institutions: European Commission
Subjects: EU programme, economic support, single market, tax evasion, tax harmonisation

EUROPEAN COMMISSION 

Brussels, 29.8.2012  
COM(2012) 465 final 

2011/0341/b (COD) 

Amended proposal for a 

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

establishing an action programme for taxation in the European Union for the period 
2014-2020 (Fiscalis 2020) and repealing Decision N°1482/2007/EC  

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EXPLANATORY MEMORANDUM 

1. 

CONTEXT OF THE PROPOSAL 

On  29  June  2011,  the  Commission  adopted  a  proposal  for  the  next  Multi-Annual  Financial 
Framework  for  the  period  2014-20201:  a  budget  for  delivering  the  Europe  2020  Strategy 
proposing among others a new Fiscalis 2020 programme. This programme will contribute to 
the Europe 2020 Strategy for smart, sustainable and inclusive growth2, by strengthening the 
functioning of the tax systems within the Member States and the Union's Single Market. By 
facilitating  the  evolution  of  national  tax  administrations  towards  e-tax  administrations,  the 
new  programme  also  contributes  to  the  establishment  of  a  digital  Single  Market  ('Digital 
Agenda for Europe'). 

The smooth functioning of taxation systems in the internal market is dependent on effective 
and  efficient  processing  of  cross-border  transactions  by  national  tax  administrations,  the 
prevention  of  and  fight  against  tax  fraud  and  protection  of  tax  revenues.  This  implies 
exchange  of  large  quantities  of  information  between  tax  administrations,  but  also  tax 
administrations  working  more  efficiently  and  at  the  same  time  reducing  the  administrative, 
economic and time burden for tax payers involved in cross-border activities. This can only be 
achieved on the basis of cooperation between tax administrations of the Member States and 
third parties. Given the increasing globalisation, an efficient fight against fraud should equally 
have an international dimension. Therefore, the programme will also support the exchange of 
information with non-Member States in the realm of the international agreements concluded 
with the non-Member States concerned. 

The proposed  programme  will  support the cooperation mainly between the tax authorities 
and,  if  appropriate,  other  parties  concerned.  It  is  the  successor  programme  of  the  Fiscalis 
2013 programme which ends on 31 December 2013. The proposed Fiscalis 2020 programme 
will  support  tax  cooperation  in  the  Union  clustered  around  human  networking  and 
competency building, on the one hand, and IT capacity building on the other hand. The first 
cluster  allows  for  the  exchange  of  good  practices  and  operational  knowledge  amongst  the 
Member  States  and  other  countries  participating  in  the  programme.  The  latter  enables  the 
programme to fund appropriate IT infrastructure and systems that allow tax administrations in 
the  Union  to  evolve  to  fully-fledged  e-administrations.  The  main  added-value  of  the 
programme  is  generated  by  enhancing  the  capacity  of  Member  States  in  fighting  fraud  and 
possibly raising revenue, while cutting costs in developing the tools for these purposes. 

2. 

RESULTS OF CONSULTATIONS WITH THE INTERESTED PARTIES AND 
IMPACT ASSESSMENTS 

Consultations and expertise 

2.1. 
In  the  context  of  the  midterm  evaluation  of  the  Fiscalis  2013  programme3,  a  contractor 
analysed  the  effectiveness,  efficiency,  relevance  and  value  added  of  the  programme. 
Monitoring data available from the different activities was used. 

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3 

COM(2011)500 Final of 29 June 2011, A budget for Europe 2020. 
COM(2010) 2020 final of 3 March 2010: A strategy for smart, sustainable and inclusive growth. 
Fiscalis 2013 midterm evaluation: 
http://ec.europa.eu/taxation_customs/resources/documents/common/publications/studies/fiscalis2013_
mid_term_report_en.pdf 
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Another  contractor  carried  out  a  study  of  the  possible  framework  of  the  future  Fiscalis 
programme4: including a comprehensive analysis of future challenges and structural problems 
of the taxation systems in the internal market. The findings of this study were discussed with 
the  representatives  of  the  participating  countries  in  a  workshop  organised  in  June  2011.  In 
preparation  of  this  workshop,  a  roundtable  was  organised  in  spring  2011  in  the  relevant 
programme  Committee5  meeting  where  participating  countries  were  asked  to  identify  the 
main  strengths  of  the  programme  and  how  the  efficiency  of  the  programme  could  be 
improved.  

Considering the importance of the activities related to the exchange of information, a separate 
study was carried out on the future implementation strategy for the exchange of information. 
This study was presented in a workshop for Chief Information Officers of tax administrations 
in June 2011. 

An impact assessment was prepared analysing the continuation of the Fiscalis programme and 
approved by the Impact Assessment Board on 22 September 2011. 

Recommendations  for  design  and  further  improvements  of  the  programme  were  taken  on 
board in the development of the future programme proposal. The programme objectives put, 
for instance, more emphasis on reduction of administrative burdens on tax administrations and 
taxpayers, improving cooperation with third countries and third parties, and also at reinforcing 
the fight against tax fraud. In addition the programme proposal includes new tools to address 
new  challenges,  notably  new  joint  action  types,  the  improvement  of  the  availability  of  the 
results  of  the  programme  activities  taking  advantage  of  online  collaboration  methods  and 
defining a framework to better monitor the outputs of the programme.  

2.2. 

Impact assessment 

Considering the overall policy context and problems ahead for taxation in the next decade, a 
number  of  policy  options  has  been  analysed  and  compared  in  the  impact  assessment 
accompanying the present programme.  

(1) 

(2) 

(3) 

(4) 

Baseline: continuing the programme with the current objectives and design.  

No  continuation  of  the  programme:  the  programme  would  be  discontinued  and  EU 
funding  will  no  longer  be  provided  for  IT  tools,  joint  actions  or  training  activities 
supporting cooperation in the taxation area. 

Upgrade  the  baseline:  This  option  would  encompass  the  baseline  scenario  tailoring 
the objectives to the future challenges. It puts additional focus on the fight against tax 
fraud, avoidance  and  evasion, working towards  a  more  efficient  tax  administration, 
addressing the high administrative burden for taxpayers and tax administrations and 
considering the cooperation with third countries and third parties.  

Upgrade and cater for new policies: Besides addressing the problems described under 
the  option  "upgrading  the  baseline  scenario",  this  policy  option  would  offer  the 
means to extend cooperation to new areas that may follow from policy evolution and 
notably  enable  the  programme  to  have  the  means  to  facilitate  coherent  application 
and implementation of this new legislation and to implement the related exchange of 
information and administrative cooperation.  

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DELOITTE, The future business architecture for the Customs Union and Cooperative Model in the 
Taxation Area in Europe.  
Minutes of the 9th Fiscalis Committee meeting on 3 May 2011 

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The impact assessment identified option 3 "Upgrade the baseline" as the preferred option. It 
is in line with the proposal for a new budget for Europe 2020 and scores best on acceptability 
by Member States. 

3. 

LEGAL ELEMENTS OF THE PROPOSAL 

3.1. 

Legal basis 

The proposed Fiscalis 2020 programme provides mechanisms, means as well as the necessary 
funding  aiming  to  improve  cooperation  between tax  administrations.  The  proposed  measure 
comprises inter alia joint actions such as seminars, workshops, training, multilateral controls, 
establishment of expert teams etc. in which Member States and their officials may participate 
on  a  voluntary  basis.  The  overall  aim  of  those  joint  actions  is  to  enhance  administrative 
cooperation and improve the administrative capacity of Member States in the area of taxation 
which justifies the use of article 197 TFEU.  

An  important  part  of  the  Fiscalis  2020  programme  concerns  the  support  of  the  exchange  of 
information  between  Member  States  in  the  framework  of  administrative  cooperation  in  the 
taxation  area  in  the  European  Union.  The  relevant  Union  legislation  on  administrative 
cooperation provides for the use by the Member States of the European Information Systems. 
The  present  programme  specifies  that  the  Commission  together  with  the  participating 
countries  shall  ensure  that  those  systems  are  developed,  operated  and  appropriately 
maintained.  In  this  context,  it  foresees  IT  capacity  building,  by  the  Union,  through  the 
development, maintenance, operation and quality control of the Union components of the said 
systems.  These  single  components  will  be  used  by  Member  States  instead  of  a  variety  of 
differing  devices.  Provision  is  also  made  for  the  coordination  of  the  establishment  and 
functioning  of  the  Union  and  non-Union  components  of  the  systems,  with  a  view  to  ensure 
their  operability,  interconnectivity  and  continuous  improvement.  These  IT  capacity  building 
aspects justify that the programme also relies on article 114 TFEU.  

Given  the  increasing  globalisation  of  the  economy,  the  administrative  cooperation  with 
developed  third  countries  is  essential  to  efficiently  fight  against  tax  fraud.  To  simplify  and 
facilitate  the  technical  cooperation  between  those  countries  and  the  Member  States  and  to 
improve  the  security  of  the  current  exchange  of  sensitive  information  in  the  context  of 
bilateral  tax  agreements,  the  Union  should  conclude  agreements  with  developed  third 
countries to allow the use of the Union components of the European Information Systems by 
these countries. Therefore article 212 TFEU is used as a supplementary third legal base. 

3.2. 

Subsidiarity and Proportionality 

Action at Union level rather than at national level is necessary for the following reasons: 

• 

It is not sufficient to adopt tax legislation at European level, taking it for granted that its 
implementation  will  run  smoothly  and  if  not,  the  infringement  procedure  will  be 
sufficient.  In  order  to  efficiently  implement  EU  and  national  tax  law,  cooperation  and 
coordination at the European level are necessary.  

•  The challenges identified cannot be tackled if Member States are not looking beyond the 
borders  of  their  administrative  territory  and  cooperate  intensively  with  their  26 
counterparts.  Without  intense  cooperation  and  coordination  between  Member  States, 
unfair  tax  competition  and  tax  shopping  would  increase,  while  fraudsters  would  exploit 
the  lack  of  cooperation  between  national  authorities.  The  Fiscalis  2020  programme, 
implemented  by  the  Commission,  offers  Member  States  a  Union  framework  to  develop 
these cooperation activities, which is more cost efficient than if each Member State would 
set up its individual cooperation framework on a bilateral or multilateral basis. 

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•  The Fiscalis 2020 programme also supports the highly secured dedicated communication 
network  allowing  the  exchange  of  information  in  the  framework  of  administrative 
cooperation,  both  for  direct  and  indirect  taxation.  The  programme  as  such  interconnects 
national tax administrations in approximately 5 0006 connection points. This common IT 
network  ensures  that  every  national  administration  only  needs  to  connect  once  to  this 
common  infrastructure  to  be  able  to  exchange  any  kind  of  information.  If  such  an 
infrastructure  were  not  available  Member  States  would  have  to  link  26  times  to  the 
national systems of each of the other Member States. 

The Commission shall for the purpose of implementing the programme, according to Article 
17  TEU,  exercise  coordinating,  executive  and  management  functions,  as  laid  down  in  the 
Treaties. The Fiscalis 2020 programme is therefore in line with the principles of subsidiarity 
and proportionality (as set out in Art. 5 of the Treaty of the European Union (TEU). 

3.3. 

Instrument 

In line with the conclusion of the relevant impact assessment, EU intervention by means of a 
funding programme is appropriate. Taking into account the positive feedback resulting from 
the midterm evaluation of the Fiscalis 2013 programme, a successor Fiscalis 2020 programme 
is being proposed by the Commission. 

In accordance with the Commission legislative policy adopted in the framework of the Multi-
Annual Financial Framework, the successor funding programme is proposed as a regulation.  

4. 

BUDGETARY IMPLICATION 

The  timing  of  the  review  of  EU  funding  programmes  is  linked  to  the  proposal  for  a  new 
Multiannual  Financial  Framework,  as  amended  on  6  July  20127.  In  accordance  with  this 
proposal, this Regulation on the Fiscalis 2020 programme contains a budgetary framework of 
EUR 234.370.000 (in current prices) for the period of 2014-2020. 

The Fiscalis 2020 programme will be implemented by means of a direct central management 
mode  and  in  a  priority-based  manner.  Work  programmes  are  established  –together  with  the 
stakeholders- stipulating the priorities for a specific period. 

5. 

OPTIONAL ELEMENTS 

5.1. 

Annotations to specific legal provisions 

5.1.1.  Chapter I: General Provisions 

The  scope  of  the  programme  has  been  brought  in  line  with  recent  Union  tax  legislation 
meaning that it will not only cover VAT, excise duties and taxes on income and capital but 
also other taxes which are subject of Union tax legislation. 

The Fiscalis 2020 programme will be open for participation to the Member States, Candidate 
Countries  and  potential  Candidates.  In  line  with  the  overall  Union  policy  in  this  respect, 
countries of the European Neighbourhood Policy will also have the possibility to take part in 
the  programme  under  certain  conditions.  Finally,  'external  experts'  might  also  participate  in 
specific  actions  (e.g.  representatives  of  other  authorities,  trade,  national  and  international 
organisations, and possibly other experts) if required to realise the programme objectives. 

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Customs and Taxation connection points taken together 
COM(2012) 388 final 

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(a)  The  objectives  of  the  Fiscalis  2020  programme  address  the  identified 
challenges  and  expected  problems  for  tax  policy  and  authorities  in  Europe  in 
the next decade. The overarching objective of the programme is to strengthen 
the internal market through efficient and effective taxation systems. To provide 
an  adequate  answer  to  the  future  challenges  in  the  tax  area  in  the  Union,  the 
following specific objective has been defined for the programme: improve the 
operation  of  the  taxation  systems,  in  particular  through  cooperation  between 
participating countries, their tax authorities, their officials and external experts. 
The  programme  will  have  the  following  priorities:to  support  the  preparation, 
coherent application and effective implementation of Union tax law 

(b) 

(c) 

(d) 

(e) 

(f) 

to  fight  against  tax  fraud,  tax  evasion  and  tax  avoidance,  in  particular  by 
enhancing  effective  and  efficient  administrative  cooperation  and  exchange  of 
information  

to  contribute  to  the  reduction  of  administrative  burden  on  tax  administrations 
and compliance costs for taxpayers 

to  work  towards  efficient  tax  administration,  in  particular  as  regards  tax 
compliance and administrative capacity of tax administrations. 

to enhance a coherent application and implementation of Union tax policy. 

to  enhance  cooperation  with  international  organisations,  other  governmental 
authorities,  third  countries,  economic  operators  and  their  organisations  with  a 
view to fight against tax fraud, tax evasion and tax avoidance in particular by 
enhancing  effective  and  efficient  administrative  cooperation  and  exchange  of 
information, increasing tax compliance and enhancing tax administration. 

The  setting  up  of  EEAS  under  the  authority  of  the  High  Representative  Vice-President 
(HRVP)  will  facilitate  the  objective  to  achieve  more  coherence  and  coordination  in  EU 
dealings with EU partner countries requiring international cooperation. 

5.1.2.  Chapter II: Eligible actions 

The types of actions considered eligible for programme funding are similar to the ones under 
the current programme, namely: 

• 

• 

• 

Joint  Actions  pursuing  the  exchange  of  knowledge  and  good  practice  between  tax 
officials of the participating countries; 
European  Information  Systems  (EIS)8  facilitating  the  exchange  of  information  and 
access to common data ; 

Training  activities  leading  to  human  competency  building  for  tax  officials  across 
Europe. 

Modifications have been introduced in certain categories of actions. 

• 

The Fiscalis 2020 programme will include some new joint action tools:  

• 

Expert  teams  are  structured  forms  of  cooperation,  pooling  expertise  and/or 
addressing  specific  operational  activities.  They  can  be  set  up  with  a  non-
permanent  or  permanent  character  and  could  receive  support  such  as  online 

8 

Previously called Trans European IT Systems 

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• 

collaboration  services,  administrative  assistance  and 
equipment facilities to underpin the realisation and success of an action. 

infrastructure  and 

• 

Actions  for  public  administration  capacity  building  will  support  tax 
authorities that face  particular  difficulties, be it lacking knowledge, expertise, 
organisational or any other deficiencies which can be overcome through tailor-
made  support  actions  provided  by  fellow  countries  and  or  Commission 
officials. 

As regards the European Information Systems,  the new  programme  defines "Union 
components"  as  IT  assets  and  services  which  concern  some  or  all  of  the  Member 
States and are owned or acquired by the Commission. These Union components are 
described  in  point  2  of  the  Annex  of  the  proposed  legal  act.  The  "national 
components"  are  all  components  which  are  not  "Union  components".  They  are 
developed, installed and operated by Member States, and thus subject to the funding 
and responsibility of Member States.  

The  redefinition  of  Union  components  should  be  seen  in  the  light  of  the  changing 
practice of IT systems development. Currently each Member State is responsible for 
the  implementation  of  its  national  systems  according  to  common  specifications, 
resulting  in  27  developments  for  each  system, 27 trader interfaces, 27 schedules of 
development, 27 sets of project related or operational difficulties, etc. In particular in 
the  light  of  the  economic  and  financial  crisis,  the  Commission  considers  that  the 
development of IT systems should be done more efficiently. 

This evolution aims at improving the consistency of data and application of rules by 
gradually  moving  towards  more  shared  IT  development  (knowledge,  data,  IT 
components). It will bring improved working methods for instance through business 
process  modelling,  better  quality  specifications  but  also  will  bring  more 
standardisation  for  instance  harmonising  interfaces  for  traders.  The  new  approach 
towards  Union  components  will  limit  the  risk  for  divergent  development  and 
deployment plans. It also provides additional means to control the finalisation of the 
project  as  common  plans  avoid  that  the  slowest  member  in  the  development  chain 
determines the entry in operation of the entire project.  

The  EIS  may  also  be  used  to  support  exchange  of  information  between  non-EU 
countries and the Member States in the framework of bilateral tax agreements. 

5.1.3.  Chapter IV: Implementation 

In  order  to  ensure  uniform  conditions  for  the  implementation  of  this  Regulation, 
implementing  powers  should  be  conferred  on  the  Commission.  As  such  an  annual  work 
programme  will  be  adopted  in  accordance  with  the  examination  procedure  referred  to  in 
Article 5 of Regulation (EU) No 182/2011 of the European Parliament and the Council of 16 
February  2011  laying  down  the  rules  and  general  principles  concerning  mechanisms  for 
control by the Member States of the Commission's exercise of implementing powers9. 

5.2. 

Simplification 

5.2.1.  How did the proposal contribute to simplification? 

(g)  Coherence with the financial regulation 

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OJ L 55, 28.2.2011, p 13. 

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The  programme  proposal  is  fully  coherent  with  the  financial  regulation  and  its 
implementing provisions. Grants and procurement are the main financial instruments 
used  to  implement  the  programme.  The  programme  incorporates  the  simplification 
measures  proposed  in  the  Commission  proposal  for  the  revision  of  the  financial 
regulation, notably the recourse to lump sums, flat rates and unit costs. In view of the 
importance  of  the  processing  of  subsistence  and  travel  costs  paid  under  the 
programme,  the  programme  will  introduce  simplification  measures  offered  by  the 
new Financial Regulation in this area. 

(h)  Coherence between the Customs and Fiscalis 2013 programmes  

The  management  of  the  previous  Customs and  Fiscalis  programmes  had  been  fully 
aligned  based  upon  identical  procurement  rules  and  grant  models,  common 
management  guides  and  IT  based  systems.  The  management  model  includes  clear 
and  simple  procedures  for  organising  programme  activities.  The  programme 
management team of the Commission is assisted by programme management teams 
in the different customs and tax administrations acting as facilitator and first point of 
contact  for  customs,  respectively  taxation  officials  in  Member  States.  The 
management  model  allows  the  deployment  of  activities,  some  weeks  at  the  most, 
reacting  quickly  to  newly  emerging  needs,  while  at  the  same  time  guarding 
coherence between the different activities. The Member States have expressed their 
satisfaction  with  the  management  model  of  the  programme  in  the  midterm 
evaluation10.  

to 

this  close  alignment  of  both  programmes  and  further 

Considering 
the 
simplification  objective  of  the  proposal  for  the  2014  –  2020  multiannual  financial 
framework11,  the  Commission  initially  proposed  a  single  FISCUS  programme  as 
successor for the Customs and Fiscalis 2013 programmes12. In view of the unanimity 
of  Member  States  being  in  favour  of  splitting  the  proposed  single  programme,  the 
Commission, while maintaining its position against this split, proposed an amended 
proposal  with  two  legislative  texts  for  respectively  the  Customs  and  Fiscalis  2020 
programmes.  Notwithstanding  the  introduction  of  these  separate  legislative  texts, 
maintaining  the  alignment  between  both  programmes  will  remain  a  priority  for  the 
Commission  and  where  appropriate,  it  will  be  further  pursued  when  implementing 
the Customs and Fiscalis 2020 programmes. 

(i)  Did the programme consider externalisation? 

The possibility to implement the future programme through an executive agency was 
considered. An agency could be empowered to execute tasks such as the selection of 
the activities under the programme, the administrative preparation and follow-up of 
the  activities,  monitoring  of  the  activities,  grants  and  procurement  of  IT  systems. 
However, such an executive agency would add an additional layer to the governance 
structure,  increasing  the  cost  of  coordination  and  checks,  complicating  and 
lengthening  decision  making  by  adding  new  administrative  procedures.  Also,  it 
would have a negative impact on the level of know-how within the Commission and 
increase  the  risk  of  a  fragmentation  of  content  versus  administrative  aspects.  This 

The  Evaluation  Partnership,  Customs 
RAMBOLL, Fiscalis 2013 midterm evaluation, paragraphs 268-305. 
COM(2011), 398 Final of 29 June 2011. 
COM(2011), 706 Final of 9 November 2011. 

2013  midterm 

evaluation, 

page 

72 

to 

80 

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option  would  not  bring  the  expected  business  benefits  and  has  therefore  been 
discarded.  

In  an  alternative  scenario,  it  was  also  considered  to  transfer  all  relevant  IT 
activities to national administrations with the exception of the CCN/CSI network 
and its related services. In this scenario the risk is very high that gradually it would 
be  necessary  to  set-up  more  central  governance  structures.  The  resulting  impact 
would  be  similar  to  the  effects  of  the  discontinuation  of  the  programmes  which 
would put at risk the efficiency and effectiveness of tax administrations and reduce 
the  ability  to  prevent  and  detect  fraud.  Considering  the  negative  impacts  on  results 
and performance, this scenario was also discarded.  

(j)  Does the programme use common IT tools to reduce the administrative burden 

on beneficiaries and contractors? 

The Customs 2013 and Fiscalis 2013 programmes already deploy tools to facilitate 
the  management  for  of  the  programme  activities  and  related  expenditure  through  a 
common Activity Reporting Tool (ART2). This will be continued. 

5.2.2.  Performance measurement of the proposal 

The  performance  of  the  programme  will  be  measured  using  a  coherent  set  of 
performance,  impact, result  and output indicators linked to the general  and specific 
objectives  and  priorities  of  the  programme  and  building  the  link  with  the 
Commission  Management  Plan.  The  detailed  list  of  impact,  result  and  output 
indicators  is  available  in  the  Impact  Assessment.  The  Commission  has  identified 
targets for some outputs of the programme, others will be completed through actions 
within  the  Fiscalis  2013  programme.  The  targets  of  all  outputs  will  be  identified 
before the start of the Fiscalis 2020 programme by the Commission and presented to 
the programme Committee . 

5.2.3. 

Is the programme proposal coherent with overall Commission policy  

The programme will contribute towards the objectives of the Europe 2020 Strategy 
by strengthening the Single Market, enhancing the productivity of the public sector 
and sustain technical progress and innovation in  administrations,  and by promoting 
employment. It will support flagships on the digital agenda for Europe13, the flagship 
initiative on the Innovation Union14, the flagship on the Agenda for New Skills and 
Jobs15  and  the  flagship  initiative  on  an  industrial  policy  for  the  globalisation  era16. 
The  programme  will  also  support  the  Single  Market  Act17.  As  concerns  the 
protection of the financial interests of the Union and Member States, the programme 
will support collaborative efforts to fight tax fraud. 

13 
14 
15 
16 
17 

COM(2010) 245 Final/2, A Digital Agenda for Europe. 
COM(2010) 546 of 6 October 2010, European 2020 Flagship Initiative Innovation Union. 
COM(2010) 682 of 23 November 2010, An Agenda for new skills and jobs. 
COM(2010) 614, European 2020 Flagship Initiative Integrated Industrial Policy. 
COM(2011) 0206 final. 

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2011/0341/b (COD) 

Amended proposal for a 

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

establishing an action programme for taxation in the European Union for the period 
2014-2020 (Fiscalis 2020) and repealing Decision N°1482/2007/EC  

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Articles 114, 197 and 212 thereof, 

Having regard to the proposal from the European Commission, 

After transmission of the draft legislative act to the national Parliaments, 
Having regard to the opinion of the European Economic and Social Committee18, 

Acting in accordance with the ordinary legislative procedure, 

Whereas: 

(1) 

(2) 

(3) 

The  multi-annual  action  programme  for  taxation  which  applied  before  2014  has 
significantly  contributed  to  facilitating  and  enhancing  cooperation  between  tax 
authorities within the Union. The value added of this programme has been recognised 
by the tax administrations of the participating countries19. The challenges identified for 
the next decade cannot be tackled if Member States are not looking beyond the borders 
of  their  administrative  territory  and  cooperate  intensively  with  their  26  counterparts. 
The Fiscalis 2020 programme, implemented by the Commission, offers Member States 
a  Union  framework  to  develop  these  cooperation  activities,  which  is  more  cost 
efficient than if each Member State would set up its individual cooperation framework 
on a bilateral or multilateral basis. It is therefore appropriate to ensure the continuation 
of this programme by establishing a new programme in the same area. 

The programme activities, i.e. the European Information Systems, the joint actions for 
tax  officials  and  the  common  training  initiatives,  are  expected  to  contribute  to  the 
realisation of the Europe 2020 Strategy for smart, sustainable and inclusive growth20. 
In providing a framework for activities which strive for more efficient tax authorities, 
strengthen the competitiveness of businesses, promote employment and contribute to 
the  protection  of  the  Union's  financial  and  economic  interests,  the  programme  will 
actively strengthen the functioning of the taxation systems in the internal market. 

The  scope  of  the  Fiscalis  2020  programme  should  be  brought  into  line  with  current 
needs  so  as  to  allow  for  supporting  activities  in  regard  to  all  taxes  harmonised  at 
Union  level  and  to  Union  legislation  in  relation  to  taxation.  This  programme  should 
therefore not only cover taxes harmonised at Union level but also other taxes falling 
within  the  scope  of  Union  tax  legislation  in  the  meaning  of  Council  Directive 

18 
19 
20 

OJ C , , p. . 
Reference to Final/Mid Term Evaluation(s) 
COM(2010) 2020. 

EN 

10 

   EN 

                                                 
(4) 

(5) 

(6) 

(7) 

(8) 

(9) 

2010/24/EU  of  16  March  2010  concerning  mutual  assistance  for  the  recovery  of 
claims relating to taxes, duties and other measures21. 

To support the process of accession and association by third countries, the programme 
should  be  open  for  the  participation  of  acceding  and  candidate  countries  as  well  as 
potential candidates and partner countries of the European Neighbourhood Policy22 if 
certain  conditions  are  fulfilled.  Considering  the  increasing  interconnectivity  of  the 
world  economy,  the  programme  continues  to  provide  for  the  possibility  to  involve 
external  experts,  such  as  representatives  of  governmental  authorities,  economic 
operators  and  their  oganisations  or  representatives  of  international  organisations,  in 
certain activities. .  

The  programme  objectives  take  into  account  the  problems  and  challenges  identified 
for taxation in the next decade. The programme should continue to play a role in vital 
areas like the coherent implementation of Union law, administrative cooperation, the 
protection  of  the  financial  and  economic  interests  of  the  Union,  enhancing  the 
administrative  capacity  of  tax  authorities.  Given  the  problem  dynamics  of  new 
challenges  identified,  additional  emphasis  should  be  put  on  fighting  tax  fraud, 
reduction of administrative burden and enhancing cooperation with third countries and 
parties. 

The programme tools which applied before 2014 have proven to be adequate and have 
therefore  been  retained.  In  view  of  the  need  for  more  structured  operational 
cooperation,  additional  tools  have  been  added  namely  expert  teams  composed  of 
Union  and  national  experts  to  perform  jointly  tasks  in  specific  domains,  and  public 
administration  capacity  building  actions  which  should  provide  specialised  assistance 
to those participating countries needing administrative capacity building. 

The European information systems play a vital role in reinforcing the taxation systems 
within the Union and should therefore continue to be financed under the programme. 
In  addition,  it  should  be  made  possible  to  include  in  the  programme  new  tax  related 
information  systems  established  under  Union  legislation.  European  Information 
Systems  should,  where  appropriate,  be  based  on  shared  development  models  and  IT 
architecture . 

Given the increasing globalisation, an efficient fight against fraud should equally have 
an  international  dimension.  It  is  therefore  useful  to  enable  the  Union  to  conclude 
agreements  on  technical  cooperation  with  developed  third  countries  to  allow  those 
countries  to  use  the  Union  components  of  the  European  Information  Systems  to 
support a secureexchange of information between them and the Member States in the 
framework of bilateral tax agreements.  

Human competency building in the form of common training should also be realised 
through the programme. Tax officials need to build up and update their knowledge and 
skills required to serve the needs of the Union. The programme should strengthen the 
human capacity through enhanced training support that targets tax officials as well as 
economic operators. To this end, the current common training approach of the Union 
which  was  mainly  based  on  central  eLearning  development  should  develop  into  a 
multi-facetted training support programme for the Union. 

21 
22 

OJ L 84, 31.3.2010, p. 1. 
COM(2004)373 

EN 

11 

   EN 

                                                 
(10)  The programme should cover a period of seven years to align its duration with that of 
the multiannual financial framework laid down in Council Regulation (EU) N° xxx of 
xxx laying down the multiannual financial framework for the year 2014-202023. 

(11)  For  the  entire  duration  of  the  programme,  a  financial  envelope  should  be  laid  down 
constituting  the  prime  reference,  within  the  meaning  of  point  [17]  of  the 
Interinstitutional  Agreement  of  XX/YY/201Z  between  the  European  Parliament,  the 
Council  and  the  Commission  on  cooperation  in  budgetary  matters  and  on  sound 
financial  management,  for  the  budgetary  authority  during  the  annual  budgetary 
procedure. 

(12) 

In  line  with  the  Commission's  commitment  set  out  in  its  Communication  on  the 
Budget  Review  of  201024  to  coherence  and  simplification  of  funding  programmes, 
resources  should  be  shared  with  other  Union  funding  instruments  if  the  envisaged 
programme  activities  pursue  objectives  which  are  common  to  various  funding 
instruments excluding however double financing.  

(13)  The  measures  necessary  for  the  financial  implementation  of  this  Regulation  shall  be 
adopted in accordance with Council Regulation (EC, Euratom) No xxx/20xx of xxx on 
the  Financial  Regulation  applicable  to  the  general  budget  of  the  European 
Communities,  and  with  Commission  Regulation  (EC,  Euratom)  No  xxx/20xx  of  xxx 
laying  down  detailed  rules  for  the  implementation  of  Council  Regulation  (EC, 
Euratom)  No  xxx/20xx  of  xxx  (references  of  new  financial  regulation  and 
implementing act to be added). 

(14)  The financial interests of the Union should be protected through appropriate measures 
throughout the expenditure cycle, including the prevention, detection and investigation 
of  irregularities,  the  recovery  of  funds  lost,  wrongly  paid  or  incorrectly  used  and, 
where appropriate, penalties. 

(15) 

In  order  to  ensure  uniform  conditions  for  the  implementation  of  this  Regulation, 
implementing  powers  should  be  conferred  on  the  Commission  in  respect  of  the 
establishment  of  annual  work  programmes.  Those  powers  should  be  exercised  in 
accordance with Regulation (EU) No 182/2011 of the European Parliament and of the 
Council of 16 February 2011 laying down the rules and general principles concerning 
mechanisms  for  control  by  the  Member  States  of  the  Commission's  exercise  of 
implementing powers25. 

(16)  The  objectives  of  the  action  to  be  taken,  namely  establishing  a  multi-annual 
programme  to  improve  the  operation  of  the  taxation  systems  in  the  internal  market 
cannot be sufficiently achieved by the Member States. Since theye cannot efficiently 
perform the cooperation and coordination necessary to carry out these objectives, the 
Union may adopt measures in accordance with the principle of subsidiarity as set out 
in  Article  5  TEU  and  establish  a  multi  annual  programme.  In  accordance  with  the 
principle  of  proportionality,  as  set  out  in  that  Article,  this  Regulation  does  not  go 
beyond what is necessary in order to achieve those objectives. 

(17)  The  Commission  should  be  assisted  by  the  Fiscalis  2020  Committee  for  the 

implementation of the programme.  

23 
24 
25 

To be completed 
COM(2010)700 
OJ 28.2.2011 L 55-13 

EN 

12 

   EN 

                                                 
(18)  Directive 95/46 of the European Parliament and of the Council of 24 October 1995 on 
the protection of individuals with regard to the processing of personal data and on the 
free movement of such data governs the processing of personal data carried out in the 
Member  States  in  the  context  of  this  Regulation  and  under  the  supervision  of  the 
Member States competent authorities, in particular the public independent authorities 
designated  by  the  Member  States.  Regulation  (EU)  No  45/2001  of  the  European 
Parliament and of the Council of 18 December 2000 on the protection of individuals 
with regard to the processing of personal data by the EU institutions and bodies and on 
the free movement of such data, governs the processing of personal data carried out by 
Commission within the framework of this Regulation and under the supervision of the 
European  Data  Protection  Supervisor.  Any  exchange  or  transmission  of  information 
by  competent  authorities  should  be  in  accordance  with  the  rules  on  the  transfer  of 
personal data as laid down in Directive 95/46/EC and any exchange or transmission of 
information by the Commission should be in accordance with the rules on the transfer 
of personal data as laid down in Regulation (EC) No 45/2001. 

(19)  This Regulation should replace Decision N°1482/2007/EC of the European Parliament 
and  of  the  Council  of  11  December  2007  establishing  a  Community  programme  to 
improve  the  operation  of  taxation  systems  in  the  internal  market  (Fiscalis  2013)  and 
repealing Decision No 225/2002/EC26 . That Decision should therefore be repealed, 

HAVE ADOPTED THIS REGULATION: 

Chapter I 
General provisions 

Article 1 
Subject matter 

1. 

2. 

A  multi-annual  action  programme  "Fiscalis  2020"  ("the  programme")  is  hereby 
established to improve the operation of the taxation systems in the internal market.  

The programme shall cover the period 1 January 2014 to 31 December 2020. 

Article 2 
Definitions 

For the purpose of this Regulation the following definitions shall apply: 

(1) 

"  tax  authorities"  means  the  authorities  responsible  for  applying  rules  on 
taxation; 

(2) 

"External experts" means: 

(a) 

(b) 

(c) 

representatives of governmental authorities including from countries not 
participating in the programme according to article 3(2)1 and 3(2)2;  

economic operators and their organisations; 

representatives of international and other relevant organisations., 

(3) 

"taxation" means the following taxes:  

26 

OJ L 330, 15.12.2007, p. 1 

EN 

13 

   EN 

                                                 
(a)  value added tax provided for in Directive 2006/112/EC27; 

(b) 

(c) 

(d) 

excise duties on alcohol provided for in Directive 92/83/EEC28; 

excise  duties  on 
2011/64/EU29; 

tobacco  products  provided 

for 

in  Directive 

taxes  on  energy  products  and  electricity  provided  for  in  Directive 
2003/96/EC30; 

(e)  other  taxes  falling  within  the  scope  of  Article  2(1)(a)  of  Directive 

2010/24/EU31. 

Article 3 
Participation in the programme 

1. 

2. 

Participating  countries  shall  be  the  Member  States  and  the  countries  referred  to  in 
paragraph 2 provided the conditions set out in that paragraph are met. 

The programme shall be open to the participation of any of the following countries: 

(1) 

acceding  countries,  candidate  countries  and  potential  candidates  benefiting 
from  a  pre-accession  strategy,  in  accordance  with  the  general  principles  and 
general terms and conditions for the participation of those countries in Union 
programmes established in the respective Framework Agreements, Association 
Council Decisions or similar Agreements; 

(2)  partner  countries  of  the  European  Neighbourhood  Policy  provided  that  those 
countries  have  reached  a  sufficient  level  of  approximation  of  the  relevant 
legislation  and  administrative  methods  to  those  of  the  Union.  The  partner 
countries  concerned  shall  participate  to  the  programme  in  accordance  with 
provisions to be determined with those countries following the establishment of 
Framework Agreements concerning their participation in Union programmes. 

Article 4 
Participation in programme activities 

External experts may be invited to take part in selected activities organised under the 
programme wherever this is useful for the achievement of the objectives referred to in Article 
5. These experts shall be selected by the Commission,on the basis of their skills, experience 
and knowledge relevant to the specific activities.  

Article 5 
General objective and specific objective 

The  general  objective  of  the  programme  shall  be  to  strengthen  the  internal  market 
through efficient and effective taxation systems. 

OJ L 347, 11.12.2006, p. 1 
OJ L 316, 31.10.1992, p. 21 
OJ L 176, 5.7.2011, p. 24 
OJ L 283, 31.10.2003, p. 51 
OJ L 84, 31.3.2010, p. 1. 

1. 

27 
28 
29 
30 
31 

EN 

14 

   EN 

                                                 
2. 

3. 

The  specific  objective  of  the  programme  shall  be  to  improve  the  operation  of  the 
taxation  systems,  in  particular  through  cooperation  between  participating  countries, 
their tax authorities, their officials and external experts. 

The achievement of those objectives shall be measured on the basis of the following 
indicators:  

(1) 

(2) 

the  availability  of  the  Common  Communication  Network  for  the  European 
Information Systems; 

the  feedback  from  participants  in  programme  actions  and  users  of  the 
programme. 

The priorities of the programme shall be the following: 

Article 6 
Priorities  

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

to  support  the  preparation,  coherent  application  and  effective  implementation 
of Union tax law 

to  fight  against  tax  fraud,  tax  evasion  and  tax  avoidance,  in  particular  by 
enhancing  effective  and  efficient  administrative  cooperation  and  exchange  of 
information  

to  contribute  to  the  reduction  of  administrative  burden  on  tax  administrations 
and compliance costs for taxpayers 

to  work  towards  efficient  tax  administration,  in  particular  as  regards  tax 
compliance, and administrative capacity of tax administrations. 

to enhance a coherent application and implementation of Union tax policy. 

to  enhance  cooperation  with  international  organisations,  other  governmental 
authorities,  third  countries,  economic  operators  and  their  organisations  with  a 
view to fight against tax fraud, tax evasion and tax avoidance in particular by 
enhancing  effective  and  efficient  administrative  cooperation  and  exchange  of 
information, increasing tax compliance and enhancing tax administration. 

Chapter II 
Eligible actions 

Article 7 
Eligible actions 

The  programme  shall  provide,  under  the  conditions  set  out  in  the  annual  work  programme 
referred to in Article 14, financial support for the following types of action: 

(a) 

Joint actions: 

(1) 

seminars and workshops; 

(2)  project  groups,  generally  composed  of  a  limited  number  of  countries, 
operational  during  a  limited  period  of  time  to  pursue  a  predefined 
objective with a precisely described outcome; 

(3)  multilateral  controls,  joint  audits  and  other  activities  provided  in  Union 
legislation  on  administrative  cooperation  organised  by  two  or  more 

EN 

15 

   EN 

participating countries, including at least one Member State, to carry out 
a  coordinated  control  of  the  tax  liability  of  one  or  more  related  taxable 
persons; 

(4)  working visits organised by the participating countries or a third country 
to enable officials to acquire or increase their expertise or knowledge in 
tax  matters;  for  working  visits  organised  within  third  countries  only 
travel  and  subsistence  (accommodation  and  daily  allowance)  costs  are 
eligible under the programme; 

(5) 

expert  teams,  which  are  structured  forms  of  cooperation,  with  a  non-
permanent or permanent character, pooling expertise to perform tasks in 
specific domains or carry out operational activities, possibly with support 
services,  administrative  assistance  and 
of  online  collaboration 
infrastructure and equipment facilities; 

(6)  public administration capacity building and supporting actions; 

(7) 

(8) 

(9) 

studies; 

communication projects; 

any other activity in support of the general and specific objectives set out 
in Articles 5. 

(b) 

IT capacity building: development, maintenance, operation and quality control, 
of  Union  components  of  European  Information  Systems  set  out  in  point  1  of 
the  Annex  and,  new  European  Information  Systems  established  under  Union 
legislation 

(c)  Human  competency  building:  common  training  actions  to  support  the 

necessary professional skills and knowledge relating to taxation. 

Article 8 
Specific implementation provisions for joint actions 

Participating  countries  shall  ensure  that  officials  with  the  adequate  profile  and 
qualifications are nominated to participate in the joint actions. 

Participating  countries  shall  take  the  necessary  measures  for  the  implementation  of 
the joint actions, in particular by raising awareness on those actions and by ensuring 
an optimal use is made of the outputs generated. 

Article 9 
Specific implementation provisions  
for the European Information Systems 

The  Commission  and  the  participating  countries  shall  ensure  that  the  European 
Information Systems referred to in point 1 of the Annex are developed, operated and 
appropriately maintained. 

The  Commission  shall  coordinate,  in  cooperation  with  the  participating  countries, 
those  aspects  of  the  establishment  and  functioning  of  the  Union  and  non-Union 
components  of  the  systems  and  infrastructure  referred  to  in  points  1  and  2  of  the 
Annex  which  are  necessary  to  ensure  their  operability,  interconnectivity  and 
continuous improvement. 

1. 

2. 

1. 

2. 

EN 

16 

   EN 

3. 

1. 

2. 

3. 

1. 

2. 

1. 

2. 

3. 

The use of the union components of the European Information Systems referred to in 
point 1 of the Annex by non-participating countries shall be subject to agreements for 
technical cooperation with these countries to be concluded in accordance with Article 
218 TFEU. 

Article 10  
Specific implementation provisions for common training 

Participating countries shall integrate, where appropriate, jointly developed training 
content,  including  e-learning  modules,  training  programmes  and  commonly  agreed 
training standards in their national training programmes. 

Participating  countries  shall  ensure  that  their  officials  receive  the  initial  and 
continuing training necessary to acquire common professional skills and knowledge 
in accordance with the training programmes. 

Participating countries shall provide the linguistic training necessary for officials to 
ascertain  a  sufficient  level  of  linguistic  competence  for  participation  in  the 
programme. 

Chapter III 
Financial Framework 

Article 11 
Financial framework 

The  financial  envelope  for  the  implementation  of  the  programme  shall  be  EUR 
234.370.000 (in current prices). 

The  financial  allocation  for  the  programme  may  also  cover  expenses  pertaining  to 
preparatory,  monitoring,  control,  audit  and  evaluation  activities  which  are  required 
for  the  management  of  the  programme  and  the  achievement  of  its  objectives;  in 
particular,  studies,  meetings  of  experts,  information  and  communication  actions, 
including corporate communication of the political priorities of the European Union 
as  far  as  they  are  related  to  objectives  of  this  Regulation,  expenses  linked  to  IT 
networks  focusing  on  information  processing  and  exchange,  together  with  all  other 
technical and administrative assistance expenses incurred by the Commission for the 
management of the programme. 

Article 12 
Types of intervention 

The  Commission  shall  implement  the  programme  in  accordance  with  the  Financial 
Regulation. 

Union financial support for activities provided for in Article 7 shall take the form of:  

(1)  grants; 

(2)  public procurement contracts; 

(3) 

reimbursement of costs incurred by external experts referred to in Article 4.  

The co-financing rate for grants shall be up to 100 % of the eligible costs where the 
latter are travel and accommodation costs, costs linked to organisation of events and 
daily  allowances.  That  rate  shall  apply  to  all  eligible  actions  with  the  exception  of 

EN 

17 

   EN 

1. 

2. 

3. 

expert teams. For this category of eligible actions, the annual work programmes will 
specify the applicable co-financing rate when these  actions require the awarding of 
grants.  

Article 13 
Protection of the financial interests of the Union  

The  Commission  shall  take  appropriate  measures  ensuring  that,  when  actions 
financed under this Regulation are implemented, the financial interests of the Union 
are protected by the application of preventive measures against fraud, corruption and 
any other illegal activities, by effective checks and, if irregularities are detected, by 
the  recovery  of  the  amounts  wrongly  paid  and,  where  appropriate,  by  effective, 
proportionate and dissuasive administrative and financial penalties.  

The  Commission  or  its  representatives  and  the  Court  of  Auditors  shall  have  the 
power  of  audit,  on  the  basis  of  documents  and  on  the  spot,  over  all  grant 
beneficiaries,  contractors  and  subcontractors  who  have  received  Union  funds  under 
this programme. 

The European Anti-fraud Office (OLAF) may carry out investigations, including on-
the-spot  checks  and  inspections  in  accordance  with  the  provisions  and  procedures 
laid down in Regulation (EC) No 1073/1999 of the European Parliament and of the 
Council of 25 May 1999 and Council Regulation (Euratom, EC) No 2185/96 of 11 
November  1996  concerning  on-the-spot  checks  and  inspections  carried  out  by  the 
Commission  in  order  to  protect  the  European  Communities'  financial  interests 
against fraud and other irregularities32 with a view to establishing whether there has 
been fraud, corruption or any other illegal activity affecting the financial interests of 
the  European  Union  in  connection  with  a  grant  agreement  or  grant  decision  or  a 
contract concerning Union funding.  

Chapter IV 
Implementing powers  

Article 14 
Work programme 

In order to implement the programme the Commission shall adopt annual work programmes, 
which shall set out the objectives pursued, the expected results, the method of implementation 
and their total amount. They shall also contain a description of the actions to be financed, an 
indication  of  the  amount  allocated  to  each  action  type  and  an  indicative  implementation 
timetable.  The  work  programmes  shall  include  for  grants  the  priorities,  the  essential 
evaluation  criteria  and  the  maximum  rate  of  co-financing.  This  implementing  act  shall  be 
adopted in accordance with the examination procedure referred to in Article 15(2).  

Article 15 
Committee procedure 

1. 

The  Commission  shall  be  assisted  by  a  committee.  That  committee  shall  be  a 
committee within the meaning of Regulation (EU) No 182/2011. 

32 

OJ L 292, 15.11.1996, p. 2. 

EN 

18 

   EN 

                                                 
2. 

Where  reference  is  made  to  this  paragraph,  Article  5  of  Regulation  (EU) 
No 182/2011 shall apply. 

Chapter V 
Monitoring and Evaluation 

Article 16 
Monitoring of programme actions 

The  Commission  shall,  in  cooperation  with  the  participating  countries,  monitor  the 
programme and its actions in order to follow the implementation of actions carried out. 

Article 17 
Evaluation 

1. 

2. 

3. 

4. 

The  Commission  shall  ensure  a  midterm  and 
the 
programme,rergarding the aspects referred to in paragraph 2 and 3. The results shall 
be  integrated  into  decisions  on  possible  renewal,  modification  or  suspension  of 
subsequent  programmes.  An  independent  external  evaluator  shall  carry  out  these 
evaluations. 

final  evaluation  of 

The Commission shall establish a mid-term evaluation report on the achievement of 
the  objectives of  the  programme actions, the efficiency of the  use of resources and 
the European added value of the programme no later than mid 2018. This report shall 
additionally address the simplification, the continued relevance of the objectives, as 
well  as  the  contribution  of  the  programme  to  the  Union  priorities  of  smart, 
sustainable and inclusive growth. 

The Commission shall establish a final evaluation report on the aspects referred to in 
paragraph 2 as well as on the long term impact and the sustainability of effects of the 
programme no later than end 2021. 

The participating countries shall provide, on request of the Commission, all data and 
information  relevant  for  the  purpose  of  contributing  to  the  mid  term  and  final 
evaluation reports of the Commission. 

Chapter VI  
Final Provisions 

Article 18 
Repeal  

Decision No 1482/2007/EC is repealed with effect from 1 January 2014. 

However, financial obligations related to actions pursued under this Decision shall continue to 
be governed by this Decision until their completion. 

Article 19 
Entry into force 

This Regulation shall enter into force on the twentieth day following that of its publication in 
the Official Journal of the European Union. 

It shall apply from 1 January 2014. 

EN 

19 

   EN 

This Regulation shall be binding in its entirety and directly applicable in all Member States. 

Done at Brussels, 

For the European Parliament 
The President 

For the Council 
The President 

EN 

20 

   EN 

European Information Systems and their Union components 

1. 

The European Information Systems are the following: 

ANNEX  

(1) 

(2) 

the common communications network/common systems interface (CCN/CSI – 
CCN2),  CCN  mail3,  the  CSI  bridge,  the http bridge, CCN LDAP  and  related 
tools, CCN web portal, CCN monitoring; 

supporting  systems,  in  particular  the  application  configuration  tool  for  CCN,, 
the  activity  reporting  tool  (ART2),  Taxud  electronic  management  of  project 
online  (TEMPO),  service  management  tool  (SMT),  the  user  management 
system  (UM),  the  BPM  system,  the  availability  dashboard  and  AvDB,  IT 
service management portal, directory and user access management;  

(3)  Programme' information and communication space (PICS); 

(4) 

the VAT related systems, in particular, the VAT information exchange system 
(VIES) and the VAT refund, including the VIES initial application, the VIES 
monitoring  tool,  the  Taxation  statistical  system,  VIES-on-the-web,  VIES-on-
the-web  configuration  tool,  the  VIES  and  VAT  refund  test  tools,  the  VAT 
number algorithms, the VAT exchange of eforms, VAT on e-Services (VoeS); 
VoeS test tool, VAT eforms test tool; 

(5) 

recovery  related  systems,  in  particular  eforms  for  recovery  of  claims,  eforms 
for  uniform  instrument  permitting  enforcement  (UIPE)  and  for  uniform 
notification form (UNF); 

(6)  direct  taxation  related  systems,  in  particular  taxation  on  savings  system, 
taxation  on  saving  test  tool,  eforms  for  direct  taxation,  tax  identification 
number  TIN-on-the-web,  the  exchanges  related  to  the  Article  8  of  Directive 
2011/16/EU and associated test tools; 

(7)  other  taxation  related  systems,  in  particular,  the  taxes  in  Europe  database 

(TEDB); 

(8) 

the  excise  systems,  in  particular  the  system  for  exchange  of  excise  data 
(SEED), the Excise Movement and Control System (EMCS), MVS eforms, test 
application (TA); 

(9)  other  central  systems,  in  particular,  the  member  states  Taxation  information 
and  communication  System  (TIC),  the  self-service  testing  system  (SSTS), 
taxation  related  statistics  system,  the  central  application  for  web  forms,  the 
central services / management information system for Excise (CS/MISE). 

2. 

The Union components of the European information systems are: 

(1) 

(2) 

(3) 

IT assets such as the hardware, the software and the network connections of the 
systems including the associated data infrastructure; 

IT  services  necessary  to  support  the  development,  the  maintenance,  the 
improvement and the operation of the systems; 

and  any  other  elements  which,  for  reasons  of  efficiency,  security  and 
rationalisation,  are  identified  by  the  Commission  as  common  to  participating 
countries.  

EN 

21 

   EN 

LEGISLATIVE FINANCIAL STATEMENT 

1. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE  

1.1.  Title of the proposal/initiative  

1.2.  Policy area(s) concerned in the ABM/ABB structure 

1.3.  Nature of the proposal/initiative  

1.4.  Objective(s)  

1.5.  Grounds for the proposal/initiative  

1.6.  Duration and financial impact  

1.7.  Management method(s) envisaged  

2. 

MANAGEMENT MEASURES  

2.1.  Monitoring and reporting rules  

2.2.  Management and control system  

2.3.  Measures to prevent fraud and irregularities  

3. 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE  

3.1.  Heading(s)  of  the  multiannual  financial  framework  and  expenditure  budget  line(s) 
affected  

3.2.  Estimated impact on expenditure  

3.2.1. Summary of estimated impact on expenditure  

3.2.2. Estimated impact on operational appropriations  

3.2.3. Estimated impact on appropriations of an administrative nature 

3.2.4. Compatibility with the current multiannual financial framework 

3.2.5. Third-party participation in financing  

3.3.  Estimated impact on revenue

EN 

22 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
LEGISLATIVE FINANCIAL STATEMENT FOR PROPOSALS 

1. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE  

1.1. 

Title of the proposal/initiative  

Proposal for a Regulation  of the European Parliament and of the Council establishing an 
action programme for taxation in the European Union for the period 2014-2020 (Fiscalis 
2020) and repealing Decision N°1482/2007/EC. 
Policy area(s) concerned in the ABM/ABB structure33  

1.2. 

1405 Taxation Policy 

1.3. 

Nature of the proposal/initiative  

(cid:133) The proposal/initiative relates to a new action  
(cid:133) The proposal/initiative relates to a new action following a pilot project/preparatory action34  

X The proposal/initiative relates to the extension of an existing action  

(cid:133) The proposal/initiative relates to an action redirected towards a new action  

1.4. 

Objectives 

1.4.1.  The Commission's multiannual strategic objective(s) targeted by the proposal/initiative  

The  proposed  programme  will  contribute  to  the  Europe  2020  Strategy  for  smart, 
sustainable  and  inclusive  growth35  by  (1)  strengthening  the  functioning  of  the  Single 
Market,  (2)  providing  a  framework  to  support  activities  enhancing  productivity  of  the 
public sector and (3) pushing technical progress and innovation in national and European 
tax administrations.  

The programme will in particular support the flagship initiative on the digital agenda for 
Europe36, the flagship initiative on the Innovation Union37 and the flagship initiative on an 
industrial policy for the globalisation era38. It will support the national tax administrations 
to become fully-fledged e-tax administrations and also contributing to the reduction of the 
administrative burden on taxpayers, by making the implementation of Union tax legislation 
smarter. 
The programme will also support the Single Market Act39 in particular some key areas for 
taxation policy emphasised in this legal act and those concerning diminishing the burden 
on taxpayers. The upcoming policy initiatives which the programme will support and help 
implement, such as the proposed Energy Tax Directive, new VAT strategy, and Common 
Consolidated  Corporate  Tax  Base  for  companies  and  those  concerning  the  removal  of 
cross-border  tax  obstacles  for  citizens,  will,  when  adopted,  contribute  substantially  to 
achieving objectives of the Single Market Act. 

1.4.2. 

Specific objective(s) and ABM/ABB activity(ies) concerned  

Specific objectives and ABM/ABB activity(ies) concerned 

33 
34 
35 
36 
37 
38 
39 

ABM: Activity-Based Management – ABB: Activity-Based Budgeting. 
As referred to in Article 49(6)(a) or (b) of the Financial Regulation. 
COM(2010) 2020 final of 3 March 2010: A strategy for smart, sustainable and inclusive growth. 
COM(2010) 245 Final/2, A Digital Agenda for Europe. 
COM(2010) 546 of 6 October 2010, European 2020 Flagship Initiative Innovation Union. 
COM(2010) 614, European 2020 Flagship Initiative Integrated Industrial Policy. 
COM(2011) 0206 final. 

EN 

23 

   EN 

                                                 
The  ABB  activity  concerned  is  Taxation  Policy  (1405).The  specific  objectives  of  the 
programme will be the following: 

To  improve  the  operation  of  the  taxation  systems,  in  particular  through  cooperation 
between participating countries, their tax authorities, their officials and external experts 

EN 

24 

   EN 

1.4.3.  Expected result(s) and impact 

Specify the effects which the proposal/initiative should have on the beneficiaries/groups targeted. 

The  proposed  programme  aims  to  improve  cooperation  between  tax  administrations  and 
provide  mechanisms  and  means  for  improving  such  cooperation  as  well  as  the  necessary 
funding to achieve these objectives. As such the programme will not, when implemented 
by  the  Commission,  result  in  a  further  harmonisation  of  national  tax  systems  but  it  will 
allow  the  reduction  of  negative  effects  related  to  the  co-existence  of  27  different  tax 
systems,  such  as 
for 
administrations  and  businesses,  tax  shopping,  etc.  The  proposed  measure  is  therefore  a 
clear internal market support measure as it will allow the improvement of the functioning 
of the various tax systems within the internal market 

fraud,  distortions  of  competition,  administrative  burden 

Whereas  it  is  the  Member  States'  responsibility  to  manage  the  operation  of  national  tax 
systems, it is clear from the challenges identified in the impact assessment of the proposal 
that  increased  administrative  cooperation  between  tax  authorities  –to  an  even  greater 
degree  than  is  currently  the  case  -  is  necessary.  Cooperation  across  the  EU  enables  tax 
authorities to develop synergies, avoid duplication and exchange good practice in all fields 
related  to  taxation  such  as  business  engineering,  IT,  international  cooperation,  etc.  The 
support to taxation cooperation by the current Fiscalis 2013 programme has demonstrated 
its merits, and this experience will be very valuable to respond to the future challenges in 
particular  the  outdated  technological  architecture,  difficulties  in  working  together  on  an 
operational  level  with  regard  to  specific  tasks,  unequal  financial  means  to  support  the 
activities of tax authorities and difficulties in establishing structural collaboration with the 
main stakeholders of the tax authorities. 

1.4.4. 

Indicators of results and impact  

Specify the indicators for monitoring implementation of the proposal/initiative. 

Monitoring  of  the  programme's  activities  will  be  carried  out  in  order  to  ensure  that  the 
rules and procedures for the implementation of the programme have been applied properly 
and  to  verify  if  the  programme  is  successful  in  achieving  its  objectives.  A  monitoring 
framework  will  be  put  in  place,  including:  an  intervention  logic,  a  comprehensive  set  of 
indicators,  measurement  methods,  a  data  collection  plan,  a  clear  and  structured  reporting 
and monitoring process and midterm and final evaluations. 

The performance of the programme will be measured using a coherent set of performance, 
impact,  result  and  output  indicators  linked  to  the  general  and  specific  objectives  and 
priorities of the programme and building the link with the Commission Management Plan. 
The  detailed  list  of  impact,  result  and  output  indicators  is  available  in  the  Impact 
Assessment.  DG  TAXUD  has  identified  targets  for  some  outputs  of  the  programme.  For 
some others though this is not yet feasible at this point in time. The targets of those outputs 
will  be  identified  before  the  start  of  the  Fiscalis  2020  programme  by  DG  TAXUD  and 
presented to the programme Committee for endorsement in the framework of the Annual 
Work programme procedure. 

The  general  and  specific  objective  will  be  measured  among  others  through  the 
availability  of  the  Common  Communication  Network  for  the  European  Information 
systems and will have as target a 97% availability. 

1.5. 

Grounds for the proposal/initiative  

1.5.1.  Requirement(s) to be met in the short or long term 

The  proposal  contributes  to  the  Europe  2020  strategy  and  the  implementation  of  various 
other Union legislations as elaborated under chapter 1.4.1 

EN 

25 

   EN 

1.5.2.  Added value of EU involvement 

It is more beneficial to initiate actions at the Union level than at the level of 27 Member 
States as described in detail in chapter 3.2 of the explanatory memorandum. 

1.5.3.  Lessons learned from similar experiences in the past 

From an economic point of view, action at EU level is much more efficient. The backbone 
of the taxation cooperation is a highly secured dedicated communication network which is 
operational  since  the  first  tax  cooperation  programmes  in  the  early  90's.  It  interconnects 
national tax administrations in approximately 5.00040 connection points. This common IT 
network  ensures  that  every  national  administration  only  needs  to  connect  once  to  this 
common  infrastructure  to  be  able  to  exchange  any  kind  of  information.  If  such  an 
infrastructure were not available tax administrations in the Member States would have to 
link 26 times to the national systems of each of the other Member States. 

Other  cornerstones  of  the  programme  are  activities  that  bring  taxation  officials  together 
with the purpose of exchanging best practices, to learn from each other, analyse a problem 
or draft a guide, for instance. If Member States would have had to learn from each other by 
developing  their  own  activities  outside  the  programme  umbrella,  they  would  all  have 
developed  their  own  set  of  tools  and  ways  of  work.  Synergies  between  activities  would 
have been lost and common activities would not have been implemented systematically at 
the level of 27 Member States. It is much more efficient to have, with the support of the 
programme, the Commission acting as activity broker between the participating countries. 

Another  important  value  added  is  one  of  an  intangible  nature.  The  programme  has  been 
instrumental  in  creating  a  sense  of  common  interest,  stimulating  mutual  trust  and 
generating  a  cooperation  spirit  between  Member  States  and  Member  States  and  the 
Commission in the area of taxation. 

1.5.4.  Coherence and possible synergy with other relevant instruments 

The  management  of  the  Fiscalis  2020  and  Customs  2020  programmes  will  be  aligned 
whenever  possible.  The  programmes  share  a  common network for the implementation of 
European IT Systems, a common platform for online collaboration (PICS) and a common 
tool  for  the  Activity  Reporting  (ART2).  Methodologies  applied  for  the  Human  Capacity 
Building are also shared between the two programmes.  

The Midterm evaluation of the DG HOME programmes on Prevention of and Fight against 
Crime (ISEC)  and Prevention,  Preparedness and  Consequence  Management  of  Terrorism 
&  other  Security  Related  Risks  (CIPS)41  considers  the  Customs  and  Fiscalis  2013 
programme  management  model  "offers  the  most  promising  prospects  for  improving  the 
management  of  ISEC/CIPS  as  it  allows  to  promptly  and  flexibly  respond  to  operational 
needs".  

The backbone for trans-European IT systems is the CCN/CSI network, also being used by 
OLAF  for  the  exchange  (and  storage)  of  information on irregularities and fraud. For this 
purpose both DGs benefit from economies of scale. 

40 
41 

Customs and Taxation connection points taken together. 
COM(2005) 124 of 6 April 2005 has a budget of 745 million euro in the 2007-2013 financial framework. 

EN 

26 

   EN 

                                                 
1.6. 

Duration and financial impact  

X Proposal/initiative of limited duration  

–  (cid:133)  Proposal/initiative in effect from 01/01/2014 to 31/12/2020  

–  X  Financial impact 2014 to 2023 (from 2021 to 2023 only for payment appropriations 

(cid:133) Proposal/initiative of unlimited duration 

–  Implementation with a start-up period from YYYY to YYYY, 

–  followed by full-scale operation. 
1.7.  Management mode(s) envisaged42  

X Centralised direct management by the Commission  

(cid:133) Centralised indirect management with the delegation of implementation tasks to: 

(cid:133) 

(cid:133) 

(cid:133) 

executive agencies 
bodies set up by the Communities43 

national public-sector bodies/bodies with public-service mission 

(cid:133) 
persons  entrusted  with  the  implementation  of  specific  actions  pursuant  to 
Title  V  of  the  Treaty  on  European  Union  and  identified  in  the  relevant  basic  act 
within the meaning of Article 49 of the Financial Regulation 

(cid:133) Shared management with the Member States  

(cid:133) Decentralised management with third countries  

(cid:133) Joint management with international organisations (to be specified) 

If more than one management mode is indicated, please provide details in the "Comments" section. 

Comments  

/ 

42 

43 

Details of management modes and references to the Financial Regulation may be found on the BudgWeb site: 
http://www.cc.cec/budg/man/budgmanag/budgmanag_en.html 
As referred to in Article 185 of the Financial Regulation. 

EN 

27 

   EN 

                                                 
2. 

MANAGEMENT MEASURES  

2.1.  Monitoring and reporting rules  

Specify frequency and conditions. 

Monitoring of the programme's activities will be carried out in order to ensure that the 
rules and procedures for the implementation of the programme have been applied properly 
(audit  function).  The  proposals  for  joint  action  activities  are  monitored  on  a  permanent 
basis  through  an  online  database,  Activity  Reporting  Tool  (ART2),  which  contains  the 
proposals and their corresponding activities. The same tool allows the beneficiaries of the 
grants  issued  under  the  programme,  namely  the  Member  States  tax  administrations,  to 
report  online  the  expenses  financed  from  the  grant  to  participate  in  the  joint  action 
activities.  Annually  Member  States  have  to  sent  a  financial  report  to  the  Commission 
which using the Activity Reporting Tool. 

For  the  IT  and  Training  Capacity  Building  activities  that  are  financed  through 
procurement, the standard reporting and monitoring rules apply.  

The  programme  will  be  evaluated  twice.  The  results  of  the  midterm  evaluation  will  be 
available by mid-2018 and those of the final evaluation of the programme towards the end 
of 2021. Member States, as main beneficiaries of the programme will do an important part 
of  the  data  collection  either  by  providing  information  at  the  level  of  the  individual  tools 
(mainly through ART2) or on the wider impact of the programme (either by participating 
in perception measuring exercises or through the issuing of reports).  

Up  to  now,  evaluation  exercises  of  the  existing  programmes,  predominantly  addressed 
primary stakeholders of the programme, namely tax authorities and their experts which are 
the  target  audience  of  the  programme.  Considering  the  importance  of  consulting  also 
stakeholders  that  are  external  to  the  programme  (i.e. economic  operators)  on  the  impacts 
the  programme  has  on  them  and  to  what  extent  they  benefit  for  instance  from  better 
cooperation  between  /tax  administrations,  this  dimension  of  indirect  impacts  will  be 
included in future programme evaluations. 

2.2.  Management and control system  

2.2.1.  Risk(s) identified  

The potential risks for the implementation of the grants are related to: 

– 

Incorrect  implementation  of  the  grant  agreement  signed  with  the  consortium  of  the 
Member  States and  Candidate  Countries. The level of risk is considered low, since 
the beneficiaries are public administrations of the participating countries 

–  Member  States  declare  expenses  for  an  activity  that  is  not  approved  under  the 

programme  

–  Member States declare twice the same expenses 

The potential risks for the implementation of the contracts are related to : 

– 

– 

Non-respect of procurement rules 

Payment of an invoice for a non-existing deliverable 

2.2.2.  Control method(s) envisaged  

The main elements of the control strategy applied are: 

1. Financial controls common for all expenditure areas: 

Ex-ante verification of commitments:  

EN 

28 

   EN 

All  commitments  in  DG  TAXUD  are  verified by  the  head  of  the  HR  and  Finances  Unit. 
Consequently,  100%  of  the  committed  amounts  are  covered  by  the  ex-ante  verification. 
This  procedure  gives  a  high  level  of  assurance  as  to  the  legality  and  regularity  of 
transactions. 

Ex-ante verification of payments:  

All  payments  are  ex-ante  verified  according  to  financial  regulations  and  established 
procedures. This in-depth control is performed by a financial verificator and an authorizing 
officer. 

In addition at least one payment (from all categories of expenditures) per week is randomly 
selected  for  ex-ante  in-depth  verification  performed  by  the  head  of the  HR  and  Finances 
Unit. There is no target concerning the coverage, as  the purpose  of this verification is to 
check payments "randomly" in order to verify that all payments were prepared in line with 
the requirements. The remaining payments are processed according to the rules in force on 
a daily basis. 

Declarations of the AOSD:  

All the Authorising Officers by Sub-Delegations sign declarations supporting the Annual 
Activity Report for the year concerned. These declarations cover the operations under the 
programme. The AOSD declare that the operations connected with the implementation of 
the  budget  have  been  executed  in  accordance  with  the  principles  of  the  sound  financial 
management,  that  the  management  and  control  systems  in  place  provided  satisfactory 
assurance  concerning  the  legality  and  regularity  of  the  transactions  and  that  the  risks 
associated  to  these  operations  have  been  properly  identified,  reported  and  that  mitigating 
actions have been implemented. 

2. Additional controls for procurement contracts:  

The  control  procedures  for  procurement  defined  in  the  Financial  Regulation  are  applied. 
Any procurement contract is established following the established procedure of verification 
by the services of the Commission for payment, taking into account contractual obligations 
and sound financial and general management. Anti-fraud measures (controls, reports, etc.) 
are  foreseen  in  all  contracts  concluded  between  the  Commission  and  the  beneficiaries. 
Detailed  terms  of  reference  are  drafted  and  form  the  basis  of  each  specific  contract.  The 
acceptance  process  follows  strictly  the  TAXUD  TEMPO  methodology:  deliverables  are 
reviewed,  amended  if  necessary  and  finally  explicitly  accepted  (or  rejected).  No  invoice 
can be paid without an "acceptance letter".  

The procedure of ordering and accepting deliverables covers also assets management. Each 
asset  is  ordered  and  consequently  accepted  and  encoded  into  corporate  IT  tool  of  the 
European  Commission  (ABAC  assets)  in  its  acquisition  value.  The  depreciation  is 
automatic based on accounting rules of the Commission.  

Technical verification for procurement 

DG  TAXUD  performs  controls  of  deliverables  and  supervises  operations  and  services 
carried out by contractors. It also conducts quality and security audits of their contractors 
on a regular basis. Quality audits verify the compliance of the contractors' actual processes 
against the rules and procedures defined in their quality plans. Security audits focus on the 
specific processes, procedures and set-up.  

Ex-post administrative control on both operational and financial side 

At  the  end  of  each  contract,  the  whole  file  is  verified  by  both  operational  and  financial 
units before it is formally closed. 

3. Additional controls for grants 

EN 

29 

   EN 

The grant agreement signed by the beneficiaries of the programme (tax administrations in 
Member  States  and  Candidate  Countries)  defines  conditions  applying  to  the  financing  of 
activities  resorting  under  the  grant,  including  a  chapter  on  control  methods.  All 
participating  administrations  engaged  themselves  to  respect  Commission's  financial  and 
administrative rules on expenses. 

The  activities  for  which  grant  beneficiaries  can  finance  participation  from  the  grants  are 
identified  in  an  online  database  (ART2  –  Activity  Reporting  Tool).  The  Member  States 
report  their  spending  in  the  same  database  which  has  a  number  of  built  in  controls  to 
reduce errors. For instance, Member States can only report expenses for activities to which 
they were invited and can only do so once. 

In addition to the controls that are built-in in the reporting system, DG TAXUD performs 
paper controls and on the spot checks on a sample basis.These controls are performed ex-
post and based on risk-based sampling. 

This control strategy allows keeping the administrative burden on the grant beneficiaries as 
limited as possible and proportionate to the budget allocated and risks perceived.  

The effect of simplification measures, such as replacing real costs by lump sums, is likely 
to  be  marginal  in  terms  of  budgetary  gains.  Its  main  benefit  will  be  at  the  level  of 
efficiency  gains  and  reduced  administraive  burden  both  in  Member  States  and  at  the 
Commission. 

4. Costs and benefits of the controls 

The  controls  established  enable  DG  TAXUD  to  have  sufficient  assurance  of  the  quality 
and regularity of the expenditure and reduce the risk of non-compliance. The depth of the 
assessment  reaches  level  three44  for  Joint  Actions  and  level  four45  for  the  procurement 
contracts.  The  benefit  of  the  above  control  strategy  measures  is  the  reduction  of  the 
potential  risks  below  2  %  of  the  overall  budget  and  it  reaches  all  beneficiaries.  Any 
additional  measures  for  further risk  reduction  would  result  in  disproportionate  high  costs 
and are therefore not envisaged. DG TAXUD considers there are no variations between the 
present and current programme from control point of view and will apply the same control 
strategy  for  the  2020  programme.  The  costs  entailed  to  implement  the  above  control 
strategy are limited to 2,60 %46 of the total budget and is expected to remain at the same 
ratio.  

The  programme  control  strategy  is  deemed  efficient  to  limit  the  risk  of  non-
compliance to below 2% and proportionate with the risks entailed.  

2.3.  Measures to prevent fraud and irregularities  

Specify existing or envisaged prevention and protection measures. 

In addition to the application of all regulatory control mechanisms, the DG will devise an 
anti-fraud strategy in line with the Commission's new anti-fraud strategy (CAFS) adopted 
on 24 June 2011 in order to ensure inter alia that its internal anti-fraud related controls are 
fully  aligned  with  the  CAFS  and  that  its  fraud  risk  management  approach  is  geared  to 
identify fraud risk areas and adequate responses. Where necessary, networking groups and 
adequate  IT  tools  dedicated  to  analysing  fraud  cases  related  to  the  Fiscalis  2020 
programme will be set up. 

44 
45 

46 

Depth of controls – level three: control with reference to fully independent corroborative information 
Depth of controls – level four: control with reference to and including access to the underlying documentation 
that is available at the stage of the process in question. 
The cost comprises the number of FTE performing the controls multiplied by average staff cost; expenditure 
linked to external audits, expenditure linked to maintenance of ART system. 

EN 

30 

   EN 

                                                 
3. 

3.1. 

Heading of 
multiannual 
financial 
framework 

Heading of 
multiannual 
financial 
framework 

1 

1 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE  

Heading(s)  of  the  multiannual  financial  framework  and  expenditure  budget  line(s) 
affected  

•  Existing expenditure budget lines  

In order of multiannual financial framework headings and budget lines. 

Budget line 

Type of  
expenditure

Contribution  

Number  
[Description………………………...……….] 

Diff./non-
diff. 
(47) 

from 
EFTA48 
countries 

from 
candidate 
countries49 

from third 
countries 

within the meaning 
of Article 18(1)(aa) 
of the Financial 
Regulation  

•  New budget lines requested  

In order of multiannual financial framework headings and budget lines. 

Budget line 

Type of 
expenditure

Contribution  

Number  
[Heading……………………………………..] 

Diff./non-
diff. 

from 
EFTA 
countries 

from 
candidate 
countries 

from third 
countries 

within the meaning 
of Article 18(1)(aa) 
of the Financial 
Regulation  

14.04.04 – Fiscalis 2020  

Diff. 

NO 

YES 

NO 

NO 

14.01.04.05  

Fiscalis  2020  –  Expenditure  on 
administrative management 

Non-diff

NO 

NO 

NO 

NO 

47 
48 
49 

Diff. = Differentiated appropriations / Non-diff. = Non-Differentiated Appropriations 
EFTA: European Free Trade Association.  
Candidate countries and, where applicable, potential candidate countries from the Western Balkans. 

EN 

31 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
3.2. 

Estimated impact on expenditure50 

3.2.1. 

Summary of estimated impact on expenditure  

The  costs  related  to  the  possible  introduction  of  a  new  European  IT  system,  should  this  be  required,  implementing  the  proposal  on  the 
Financial Transaction Tax (FTT), are not included in the budget of the Fiscalis 2020 programme, considering the early stage of the process 
for the FTT proposal. 

EUR million (to 3 decimal places) 

Heading of multiannual financial 
framework:  

1 

Smart and Inclusive Growth 

DG: TAXUD 

(cid:121) Operational appropriations  

14.0404 – Fiscalis 2020 

of 

Appropriations 
administrative 
 from the envelope for specific programmes51  
14.010405 

an 

TOTAL appropriations 
for DG TAXUD 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

TOTAL 

Year 
2021-
2023 

Commitments 

Payments 

(1a) 

(2a) 

nature 

financed 

Commitments 

Payments 

(3) 

=1+1(a
)+3 

=2+2(a
)+3 

33.310 

33.310 

33.310 

33.410 

33.410 

33.410 

33.510 

 9.327 

24.316 

27.647 

30.007 

30.052 

30.062 

30.097 

52.162 

0.100 

0.100 

0.100 

0.100 

0.100 

0.100 

0.100 

33.410  33.410  33.410  33.510  33.510  33.510  33.610 

233.670 

233.670 

0.700 

234.370 

 9.427  24.416  27.747  30.107  30.152  30.162  30.197  52.162 

234.370 

50 
51 

Expenditure is expressed in current prices. 
Technical and/or administrative assistance and expenditure in support of the implementation of EU programmes and/or actions (former "BA" lines), indirect research, direct 
research. 

EN 

32 

EN 

 
  
 
 
 
 
 
  
 
 
 
  
  
                                                 
(cid:121) TOTAL operational appropriations  

Commitments 

Payments 

(cid:121)  TOTAL  appropriations  of  an  administrative  nature 
financed from the envelope for specific programmes  

(4) 

(5) 

(6) 

33.310 

33.310 

33.310 

33.410 

33.410 

33.410 

33.510 

 9.327 

24.316 

27.647 

30.007 

30.052 

30.062 

30.097 

52.162 

0.100 

0.100 

0.100 

0.100 

0.100 

0.100 

0.100 

Commitments 

=4+ 6 

33.410  33.410  33.410  33.510  33.510  33.510  33.610 

233.670 

233.670 

0.700 

234.370 

TOTAL appropriations  
under HEADING 1 
of the multiannual financial framework 

Payments 

=5+ 6 

 9.427  24.416  27.747  30.107  30.152  30.162  30.197  52.162 

234.370 

EN 

33 

EN 

 
  
 
 
  
  
  
Heading of multiannual financial 
framework:  

5 

" Administrative expenditure " 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

TOTAL 

EUR million (to 3 decimal places) 

DG: TAXUD 

(cid:121) Human resources  

4.973 

4.973 

4.973 

4.973 

4.973 

4.973 

4.973 

(cid:121) Other administrative expenditure  

0.220 

0.220 

0.220 

0.220 

0.220 

0.220 

0.220 

TOTAL DG TAXUD 

5.193 

5.193 

5.193 

5.193 

5.193 

5.193 

5.193 

34.811 

1.540 

36.351 

TOTAL appropriations 
under HEADING 5 
of the multiannual financial framework  

(Total 
= Total payments) 

commitments 

5.193 

5.193 

5.193 

5.193 

5.193 

5.193 

5.193 

36.351 

TOTAL appropriations  
under HEADINGS 1 to 5 
of the multiannual financial framework  

Commitments 

38.603 

38.603 

38.603 

38.703 

38.703 

38.703 

38.803 

 270.721 

Payments 

14.620 

29.609 

32.940 

35.300 

35.345 

35.355 

35.390 

52.162 

 270.721 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

Year 
2021-
2023 

TOTAL 

EN 

34 

EN 

 
  
 
 
 
 
 
 
 
 
 
  
 
–  The proposal requires the use of operational appropriations, as explained below: 

Estimated impact on operational appropriations  

Commitment appropriations in EUR million (to 3 decimal places) 

Indicate 
objectives 
and 
outputs  

Type of 
output52 

(cid:216) 

t
s
o
c

e
g
a
r
e
v
A

t
u
p
t
u
o

e
h
t

f
o

2014 

2015 

2016 

2017 

 2018 

2019 

2020 

TOTAL 

OUTPUTS 

r
e
b
m
u
N

s
t
u
p
t
u
o

f
o

Cost 

r
e
b
m
u
N

s
t
u
p
t
u
o

f
o

Cost 

r
e
b
m
u
N

s
t
u
p
t
u
o

f
o

Cost 

r
e
b
m
u
N

s
t
u
p
t
u
o

f
o

Cost 

r
e
b
m
u
N

s
t
u
p
t
u
o

f
o

Cost 

r
e
b
m
u
N

s
t
u
p
t
u
o

f
o

Cost 

r
e
b
m
u
N

s
t
u
p
t
u
o

f
o

Cost 

r
e
b
m
u
n

l
a
t
o
T

s
t
u
p
t
u
o

f
o

Total  
cost 

Specific Objective: To improve the operation of the taxation systems in particular through cooperation between participating countries, their tax administrations, their officials and external experts 

IT 
Capacity 
Building 

Joint 
Actions 

Human 
Capacity 
Building 

TOTAL 
COST 

Number of 
IT contracts 

Around 
20 

23.450

23.450

23.450

23.450

23.450

23.450

23.450

164.150 

Number of 
events 
organised 

Number of 
trainings 

Around 
260 

 8.550

 8.550

 8.550

 8.550 

 8.550

 8.550

 8.550

 59.850 

Tbc 

 1.310

 1.310

 1.310

 1.410 

 1.410

 1.410

 1.510

 9.670 

33.310

33.310

33.310

33.410

33.410

33.410

33.510

233.670 

52 

Outputs are products and services to be supplied (e.g.: number of student exchanges financed, number of km of roads built, etc.). 

EN 

35 

EN 

 
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
3.2.2.  Estimated impact on appropriations of an administrative nature 

3.2.2.1.  Summary  

–  The  proposal  requires  the  use  of  administrative  appropriations,  as  explained 

below: 

EUR million (to 3 decimal places) 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

TOTAL 

HEADING 5 
of the multiannual 
financial framework 

Human resources  

Other  administrative 
expenditure  

Subtotal HEADING 5 
of the multiannual 
financial framework  

Outside HEADING 553 
of the multiannual 
financial framework  

4.973 

4.973 

4.973 

4.973 

4.973 

4.973 

4.973 

34.811 

0.220 

0.220 

0.220 

0.220 

0.220 

0.220 

0.220 

1.540 

5.193 

5.193 

5.193 

5.193 

5.193 

5.193 

5.193 

36.351 

Human resources  

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

Other 
expenditure  
of  an  administrative 
nature 

Subtotal  
outside HEADING 5 
of the multiannual 
financial framework  

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

TOTAL 

5.193 

5.193 

5.193 

5.193 

5.193 

5.193 

5.193 

36.351

53 

Technical  and/or  administrative  assistance  and  expenditure  in  support  of  the  implementation  of  EU 
programmes and/or actions (former "BA" lines), indirect research, direct research. 

EN 

36 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
3.2.2.2.   Estimated requirements of human resources  

–  The proposal requires the use of human resources, as explained below: 

Estimate to be expressed in full amounts (or at most to one decimal place) 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year
2020 

(cid:121) Establishment plan posts (officials and temporary agents) 

14 01 01 01 (Headquarters and Commission’s 
Representation Offices) 

14 01 01 02 (Delegations) 

14 01 05 01 (Indirect research) 

10 01 05 01 (Direct research) 

32 

32 

32 

32 

32 

32 

32 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

(cid:121) External personnel (in Full Time Equivalent unit: FTE)54 

14 01 02 01 (CA, INT, TA, SNE from the 
"global envelope") 

14 01 02 02 (CA, INT, JED, LA and SNE in the 
delegations) 

14 01 04 05 55 

- at Headquarters56 

- in delegations  

14 01 05 02 (CA, INT, SNE - Indirect research) 

10 01 05 02 (CA, INT, SNE - Direct research) 

Other budget lines (specify) 

TOTAL 

9 

9 

9 

9 

9 

9 

9 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

41 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

41 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

41 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

41 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

41 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

41 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

41 

14 is the policy area or budget title concerned. 

The human resources required will be met by staff from the DG who are already assigned to 
management of the action and/or have been redeployed within the DG, together if necessary 
with any additional allocation which may be granted to the managing DG under the annual 
allocation procedure and in the light of budgetary constraints. 

Description of tasks to be carried out: 

Officials and temporary agents 

Programme  management  activities,  stricto  senso57,  and  programme  implementation 
activities  such  as  studies,  development,  maintenance  and  operation  of  European  IT 
systems  

External personnel 

Assistance  to  programme  implementation  activities  such  as  studies,  development, 
maintenance and operation of European IT systems 

54 

55 
56 

57 

CA= Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune Expert en Délégation" (Young 
Experts in Delegations); LA= Local Agent; SNE= Seconded National Expert;  
Under the ceiling for external personnel from operational appropriations (former "BA" lines). 
Essentially  for  Structural  Funds,  European  Agricultural  Fund  for  Rural  Development  (EAFRD)  and 
European Fisheries Fund (EFF). 
The number of posts involved in programme management activities strictu senso is limited to 18.  

EN 

37 

   EN 

 
 
                                                 
3.2.3.  Compatibility with the current multiannual financial framework  

–  The proposal is compatible the 2020 multiannual financial framework. 

3.2.4.  Third-party contributions  

–  The proposal does not provide for co-financing by third parties  

3.2.5.  Estimated impact on revenue 

–  The  proposal  has  potentially  limited  financial  impact  on  revenue:  in  case  the 
penalties (mentioned in article 13) are applied, these will be budgeted as general 
revenue for the EU budget 

EN 

38 

   EN