EC tax reform group revives carbon/energy tax

A high-level official group set up earlier this year to consider shifting taxes in the EC away from labour and on to new bases, including pollution, has concluded only that further work is needed on the issue. But the European Commission has accepted its conclusion that action is needed at EC level on energy taxation, and will shortly table a fresh proposal for a carbon/energy tax. Meanwhile, new support for a greening of the tax system has come in reports from the European Environment Agency and an influential left-wing UK think tank.

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