eurealist.co.uk

Governments have been flooded by legal actions from large corporations claiming, often successfully, that differing tax regimes in the EU are unfair. The UK is fighting big claims from Marks & Spencer and Cadbury Schweppes, among others. These claims could cost the British taxpayer billions if the ECJ finds aginst the governments and it looks as if it will. So up steps our Tone who id trying to stop the court from making rulings which interfere in member states’ tax laws.

Unfortunately it looks as if this move will be strongly resisted by the EU Commission The Observer reports today that a senior official at the European Commission indicated last week that it would probably oppose the British reform initiative. ‘The ECJ exists to implement European law across the Union. I don’t think we would ever support an attempt to hinder its ability to do that,’ he said. The official added that any reform of the court would have to be agreed by all 25 EU states, a near impossible task.

Now what was the FCO Myth site said about tax

We control tax and social security
The Government negotiated successfully to keep a national veto over tax proposals. Social Security proposals are subject to an effective veto through a national ‘emergency brake’ mechanism allowing any Member State to refer a proposed law to the European Council (the body composed of national heads of state/government) for decision by consensus.

Some negotiation some myth.