Este documento se integra en una serie de estudios que, desde una perspectiva de Derecho Comparado, tienen como objeto analizar la libertad de empresa en diferentes ordenamientos jurídicos. Tras una breve introducción histórica, así como la explicación de la normativa y la jurisprudencia de aplicación, se examinan el contenido, los límites y la posible evolución de tal libertad. El presente estudio tiene por objeto el caso de Argentina. La libertad de empresa es reconocida por Constitución Argentina como derecho fundamental, bajo la fórmula de “libertad de industria y comercio” (art.14). La matriz de económica reposa sobre la libertad de empresa como proveedora de bienes y servicios a la sociedad y atribuye al Estado facultades de promoción y gestión (art.75 incisos 18 y 19), de regulación del comercio internacional e interprovincial (art. 75 inc. 13) y de defensa de la competencia de los mercados (art. 42). En el ordenamiento federal argentino la regulación legislativa de la libertad de empresa compete principalmente al Estado nacional mientras a los Estados provinciales corresponde la aplicación y operatividad dentro de su territorio, pudiendo complementar con normas locales que no contravengan las normas federales. Esos concisos parámetros constitucionales permitieron diversas modulaciones económicas a lo largo de los siglos XX y XXI que se ven reflejadas en la voluminosa legislación nacional y provincial. Source : © European Union, 2024 - EP

The emergence of a contested multipolar world, one that is increasingly inward looking and unstable, has been paralleled by profound technological change and deepening digitalisation of economies and societies. Technology has become a battleground in the geopolitical quest for power. Global technological rivalries – broadly divided between countries promoting liberal and human-centric governance models and those deploying technology to support authoritarianism – are reshaping the world. Other undecided countries are meanwhile sitting on the fence. A case in point is the intensifying Sino-American tech rivalry, including in the pivotal artificial intelligence (AI) and semiconductors sectors. In addition to its deep impact on economies and competitiveness, technology is also at the core of geopolitical struggles through its deployment in cyberwarfare, election interference and misinformation. Supporting open trade, a multilateral order and global standards have always been among the EU's fundamental principles. To safeguard those values and navigate this new, challenging, fractured and confrontational environment, the EU has been developing a policy toolkit for quite some time. Additionally, it has frequently been a front-runner in regulating critical emerging technologies, while also establishing partnerships with allies and like-minded countries, safeguarding its internal market and addressing technological vulnerabilities and strategic dependencies. Since the underlying trends are unlikely to weaken, the issues at the nexus of geopolitics and technology are expected to feature prominently on the European Parliament's agenda during its 2024-2029 legislature. Experts recommend that to maintain its normative heft, the EU needs to build its industrial prowess by boosting its technological capacity, investing in digital infrastructure and financing innovation. The EU should also strengthen ties with like-minded countries and engage the Global South, expand its economic security policy and enhance the Global Gateway initiative. Boosting competitiveness and striking the right balance between autonomy and openness as well as between security and free trade, remain the key challenges in a world shaped by multiple crises and disruptive technologies. Source : © European Union, 2024 - EP

This document provides an overview of all country-specific recommendations for 2024 as proposed by the Commission on 19 June 2024 and agreed by the Council on 16 July 2024. Source : © European Union, 2024 - EP

The EU has constantly affirmed its support for multilateralism, and in particular for the United Nations (UN), with which it shares core values. Article 21 of the Treaty on European Union puts respect for the principles of the UN Charter among the guiding principles of EU action on the international scene. The EU and its Member States contribute one third to the total UN budget. Although the EU's status within the UN system varies (from full member to simple observer), the EU is the regional organisation having gained the strongest voice in the UN. The EU supports the reform agenda initiated by UN Secretary-General António Guterres. The European Parliament is a strong supporter of rules-based multilateralism. It follows the EU's activity in the UN closely, and regularly adopts recommendations to the Council of the EU on the priorities to be pursued by the EU at the UN General Assembly, and at major multilateral conferences such as the UN climate change conference. Parliament also adopts resolutions on the implementation and delivery of the Sustainable Development Goals. It encourages cooperation between the EU – together with its Member States – and the UN, in particular on humanitarian aid, development assistance, peace operations and crisis management. As regards specific bodies and agencies, Parliament regularly reiterates its strong support for the International Criminal Court, and deplores the abuse of multilateral institutions, in particular by regimes seeking to neutralise human rights mechanisms within the UN Human Rights Council. Parliament's relevant committees maintain relations with UN bodies and agencies. The committees invite UN representatives and experts to exchanges of views and hearings at the European Parliament, and send delegations to key meetings. Source : © European Union, 2024 - EP

European Union lawmakers signed the artificial intelligence (AI) act in June 2024. The AI act, the first binding worldwide horizontal regulation on AI, sets a common framework for the use and supply of AI systems in the EU. The new act offers a classification for AI systems with different requirements and obligations tailored to a 'risk-based approach'. Some AI systems presenting 'unacceptable' risks are prohibited. A wide range of 'high-risk' AI systems that can have a detrimental impact on people's health, safety or on their fundamental rights are authorised, but subject to a set of requirements and obligations to gain access to the EU market. AI systems posing limited risks because of their lack of transparency will be subject to information and transparency requirements, while AI systems presenting only minimal risk for people will not be subject to further obligations. The regulation also lays down specific rules for general purpose AI (GPAI) models and lays down more stringent requirements for GPAI models with 'high-impact capabilities' that could pose a systemic risk and have a significant impact on the internal market. The AI Act was published in the EU's Official Journal on 12 July 2024. It entered into force in August 2024. Fourth edition. 'EU Legislation in Progress' briefings are updated at key stages of the legislative procedure. Source : © European Union, 2024 - EP

Within the policy framework of the European Green Deal, the European Climate Law of 2021 has set an EU-wide, legally binding target of 'climate neutrality' or net-zero greenhouse gas (GHG) emissions by 2050. To achieve this target, the European Climate Law also enshrines the intermediate climate target of reducing EU net GHG emissions by at least 55 % by 2030, compared to 1990 levels. Following the adoption of the Climate Law and most of the 'fit for 55' legislative revisions, Member States had to update their national energy and climate plans (NECPs) in line with the increased energy and climate objectives by 30 June 2024. Ahead of this deadline, the Commission called on Member States to step up their efforts, as the contributions noted in the draft NECPs were not yet sufficient to deliver the 2030 target and would lead to a net reduction of only 51 %. The 2030 EU Climate Law target is binding at EU level. Its achievement, however, depends on the success of plans and measures at national level, across a range of policy areas. To explore the potential enforceability of the net 55 % EU-wide emission reduction target, this briefing examines the enforcement mechanisms of five legislative acts that form the core of the European climate and energy acquis and will be essential for delivering the European Climate Law's 2030 target. The briefing looks at the enforcement specificities of the nationally binding targets of key climate legislation, including various procedural obligations under the Governance Regulation. Ultimately, nationally binding targets can be enforced by the Commission through the overarching infringement procedure of the EU Treaties. In the case of binding EU-wide targets, however, the situation becomes more complex. Source : © European Union, 2024 - EP

The arrival of refugees and irregular migrants in the EU in unprecedented numbers in 2015 exposed a number of deficiencies in the EU's external border, asylum and migration policy, and sparked EU action through various legal and policy instruments. Today, even though the EU has been relatively successful in securing its external borders, curbing irregular migrant arrivals and increasing cooperation with third countries, Member States are still reluctant to show solidarity and do more to share responsibility for asylum-seekers. Turmoil in Africa and the Middle East, followed by the war in Ukraine and the armed conflict in the Gaza Strip are forcing more and more people to flee violence and seek a safe haven in Europe. At times spontaneously, Member States have reacted to these crises and showed open solidarity, as with regard to the Ukrainian citizens fleeing the war. At other times their reaction has been more ambivalent: take for instance the ripples of discord caused by the disembarkation in November 2022 of migrants rescued from the Mediterranean by four private vessels, which once again clearly demonstrated the need for a more stable and predictable mechanism to manage irregular migration. International cooperation and solidarity are key in helping to manage migration to and between states. Under international law, states have certain legal obligations to assist and protect the refugees they accept on their territory, but the legal duties of other states, as regards providing help and sharing that responsibility, are less clearly codified. At EU level, the principle of solidarity is set out in several articles, including Article 80 of the Treaty on the Functioning of the European Union (TFEU). However, EU law does not define the notions of 'solidarity' or 'fair sharing of responsibilities' for refugees or asylum-seekers. This has prompted EU institutions, academics and other stakeholders to propose different ways to render solidarity more operational; these include sharing out relevant tasks and pooling resources at EU level, and providing financial and other forms of compensation for frontline Member States. The migration and asylum pact adopted in spring 2024 sets out a new flexible but mandatory solidarity system. This updates and expands on a January 2023 briefing by the same authors. Source : © European Union, 2024 - EP

Mongolia is a geographically remote and resource-rich country with a peculiar location in northeast Asia. An 'oasis of democracy', it is sandwiched between its two expansionist authoritarian neighbours, China and Russia. This has required it to walk a delicate geopolitical tightrope of non alignment and a 'third neighbour' foreign policy to preserve its sovereignty and independence. During the past 35 years of bilateral diplomatic relations Mongolia has not been particularly high on the EU's foreign policy agenda, with only a handful of EU Member States having an embassy there. Since the 1990s, Mongolia has nonetheless benefited from EU development cooperation programmes aimed at supporting its sustainable economic and democratic development and from EU disaster relief for the increasingly harsh socioeconomic implications of its exposure to climate change. Classified as a lower-middle income country, Mongolia has also been a beneficiary of unilateral preferential access to the EU market, first under the generalised scheme of preferences (GSP) and later under the GSP+ scheme, and has been able to draw on additional EU funding programmes to bolster the diversification of its trade towards non-mining products. Currently, an EU-Mongolia agreement on geographical indications is under negotiation with the same objective. The EU-Mongolia political and cooperation agreement (PCA), which entered into force in 2017, has significantly broadened the scope for bilateral, regional and international cooperation to policy areas that were previously not covered by the 1993 trade and economic cooperation agreement. Joint Committee meetings under the PCA have taken place regularly, with strands on political dialogue, human rights, trade and investment, and development cooperation. EU reliance on resilient supply chains for critical raw materials (CRMs) to implement its green and digital transitions and Mongolian efforts to sustainably diversify its economic relations could draw the two partners closer. As the scramble for CRMs is in full swing and major CRM-importing countries have designed economic de-risking policies to find alternatives to China's current quasi export monopoly on processed CRMs such as rare earths, the EU and Mongolia could enter into a CRM partnership, despite the geographical and geopolitical constraints and concerns that may arise over the environment and the investment climate owing to increased sourcing of CRMs from Mongolia. Source : © European Union, 2024 - EP

Upon request of the Committee on Petitions (PETI), the Policy Department for Citizens’ Rights and Constitutional Affairs commissioned the present study on Regulation 1049/2001 on access to documents with a twofold objective. First, to update the analysis conducted in a 2016 study for the PETI Committee with the latest developments in the case law of the CJEU and the activities led by the European Ombudsman since then – in particular focussing on access to legislative documents, documents relating to administrative proceedings, Court proceedings, infringement proceedings, protection of privacy, international relations, and special regimes. Second, to assess the possible future alignment of the Access Regulation with the evolving digital context, including a potential revision of the definition of document, access to user-friendly public registers and internet sites, access to agendas of officials and scheduled meetings with interest representatives, and access to videos of CJEU oral hearings. The research also incorporates illustrative and complementary cases and own initiatives by the European Ombudsman as indications of evolving challenges to institutional secrecy in the EU context. Source : © European Union, 2024 - EP

This briefing has been prepared for the public hearing with the Chair of the Single Supervisory Mechanism (SSM), Claudia Buch, scheduled for 2 September 2024. The previous hearing took place on 21 March 2024. Source : © European Union, 2024 - EP

The European Economic and Social Committee (EESC) is a consultative body of the European Union, based in Brussels. It is composed of 329 members. Its opinions are required on the basis of a mandatory consultation in the fields established by the Treaties or a voluntary consultation by the Commission, the Council or Parliament. It may also issue opinions on its own initiative. Its members are not bound by any instructions. They are to be completely independent in the performance of their duties, in the EU’s general interest. Source : © European Union, 2024 - EP

The procedures for electing the European Parliament are governed both by European legislation laying down rules common to all Member States and by specific national provisions, which vary from one state to another. The common provisions lay down the principle of proportional representation, rules on thresholds and certain incompatibilities with the Member of the European Parliament mandate. Many other important matters, such as the exact electoral system used and the number of constituencies, are governed by national laws. Source : © European Union, 2024 - EP

The Maastricht Treaty altered the former European treaties and created a European Union based on three pillars: the European Communities, the common foreign and security policy (CFSP) and cooperation in the field of justice and home affairs (JHI). With a view to the enlargement of the Union, the Amsterdam Treaty made the adjustments needed to enable the Union to function more efficiently and democratically. Source : © European Union, 2024 - EP

The EU’s development policy stresses the importance of trade, and focuses on the countries most in need. The Generalised Scheme of Preferences gives some goods from developing countries preferential access to the EU market. Economic Partnership Agreements ensure preferential commercial treatment for African, Caribbean and Pacific countries, while the Everything But Arms scheme applies to least developed countries. These schemes are in line with World Trade Organization rules. Source : © European Union, 2024 - EP

Over the past decade, the EU has experienced major macroeconomic imbalances and serious divergences in competitiveness. These have both exacerbated the negative effects of the financial crisis that began in 2008 and prevented the effective use of common monetary policy measures to resolve them. In 2011, the EU set up the macroeconomic imbalance procedure to identify and correct such imbalances at national level, particularly those with potential to spill over and affect other EU countries. Source : © European Union, 2024 - EP

We first discuss why and how banking supervisors should be held accountable for their activities, then consider the case of the ECB /SSM to report on the academic debate on its faults and merits. We also review the main accountability channels between the ECB and the EP, showing how they have been used since 2014. Finally, we outline some possible steps to improve the ECB’s accountability in the short term. Source : © European Union, 2024 - EP

This briefing provides a summary of the recent economic developments in the EU Member States and gives an overview of relevant economic projections forecasted by major international and EU institutions. Annex 1 includes latest GDP data and forecasts for all EU Member States and Annex 2 the latest inflation data and developments. Source : © European Union, 2024 - EP

This study provides a comprehensive overview and understanding of the main current and future issues to be expected in the area of EU culture and creative sectors policy in the 2024-2029 term of the European Parliament. Source : © European Union, 2024 - EP

This At a glance note summarises the study providing a comprehensive overview and understanding of the main current and future issues to be expected in the area of EU culture and creative sectors policy in the 2024-2029 term of the European Parliament. Source : © European Union, 2024 - EP

The 'fit for 55' package of July and December 2021 was designed to realise the European Climate Law objectives: climate neutrality by 2050 and a 55 % reduction of net greenhouse gas (GHG) emissions by 2030, compared with 1990 levels. It consisted of 13 interlinked proposals to revise existing EU climate and energy laws, and six new legislative proposals. All proposals, except the Energy Taxation Directive, have been adopted by the European Parliament and the Council of the EU. The package seeks to accelerate emissions reductions in the sectors covered by the EU emissions trading system (ETS) and those covered by the Effort-sharing Regulation, and to increase carbon removals in the land use, land-use change and forestry (LULUCF) sector. This is an update of a briefing first published in June 2022. Source : © European Union, 2024 - EP

Following the negative reaction from the Commission when the Council published its general approach to the CMDI reform, this briefing provides some initial analysis regaring the key aspects of public interest assessment, resolution objectives and resolution funding. Clearly, the Council aims for a narrower scope of resolution in harmonised procedures by the Banking Union authorities than the Commission and narrows the available funding accordingly, potentially privileging action under national frameworks instead. Whether a balance is achieved, however, will require more in-depth analysis. Source : © European Union, 2024 - EP

This briefing paper provides a summary of key monetary policy developments and decisions taken by the ECB’s Governing Council. Source : © European Union, 2024 - EP

The European Union's water policy contributes to the fact that most people living in the Union have good access to water services. Gaps remain, however, along with significant local and seasonal variability. There is also a need to address growing drought and flood risks. Since 2019, more than two thirds of EU Member States have received at least one reference to water management in their country-specific recommendations in the context of the European Semester. The EU's Recovery and Resilience Facility (RRF), which has a strong focus on the green transition, can be used to promote sustainable water management. Overall, the national recovery and resilience plans (NRRPs) of 15 Member States include investment and reform measures directly linked to this policy area, with a budget of at least €12.92 billion. Thus, the RRF is projected to double the funding (another €13 billion) devoted to water-related projects under cohesion policy up to 2027. Against the backdrop of a widening investment gap in sustainable water management across the EU (now estimated at €25.6 billion per year), the RRF is helping to address some of the challenges the EU and its Member States are facing in this policy area. In absolute figures, Spain and Italy earmark the largest RRF allocations for sustainable water management, but other Member States such as Croatia, Cyprus and Slovenia also devote particular attention to this policy area in their NRRPs. The plans usually include a mix of reform and investment measures, with the former expected to improve the impact of the latter and the governance of the sector. The bulk of funding (72.3 %) goes to measures in water management and conservation of water resources (for example, rehabilitation of dams and projects to optimise the use of existing resources and establish or expand strategic reserves). The remainder is invested in 'Provision of water for human consumption compliant with efficiency criteria' (19.6 %), including reducing leaks, and in 'Waste water collection and treatment compliant with energy efficiency criteria' (8.1 %). As of 8 July 2024, the European Commission had assessed 17 % of the milestones and targets linked to sustainable water management in the NRRPs as having been achieved. The percentage of completion was much higher for reforms (41 %) than for investments (11 %); the frontloading of reform measures in many plans is one factor contributing to this difference. Member States must meet milestones and targets by 31 August 2026 in order to receive the related funding. Source : © European Union, 2024 - EP

Advances in (neuro)technological development have led to an increase in the use and accessibility of neurotechnologies (NT), allowing brain activity to be recorded, analysed and manipulated by neurotechnological devices. While they were originally used only for clinical purposes, they are becoming more and more attractive for healthy populations willing to enhance their cognitive or physical abilities. Consumer-grade devices can be acquired and used by lay persons without supervision in work, education and entertainment environments. This state of affairs raises a multitude of open questions and the possibility of threats to data security and privacy, as well as neuropsychological, ethical and societal implications. As a result, the Neurorights Foundation (NRF) was formed in 2017 to investigate and discuss these questions and make them visible to the public. This study addresses the NRF's claims and suggestions and evaluates the need for their proposed 'neurorights'. Disciplinary evaluations of the issues at stake are followed by recommendations and policy options. Source : © European Union, 2024 - EP

On 15 December 2021, the European Commission adopted a legislative proposal to recast the 2009 EU Gas Regulation as part of the hydrogen and decarbonised gas markets package. In the European Parliament, the file was referred to the Committee on Industry, Research and Energy (ITRE), which adopted its report on 9 February 2023. The report was endorsed at the plenary session of 15 March 2023. The Council adopted its general approach on 28 March 2023. The Parliament and the Council reached a provisional agreement on 8 December 2023. The revised regulation was published in the Official Journal on 15 July 2024 and entered into force on 4 August 2024. The regulation revises internal market rules to prepare the gas sector to transition towards low-carbon and renewable gases, creating an EU legislative framework for the hydrogen market. The newly established European Network of Network Operators for Hydrogen (ENNOH) will support the development of hydrogen infrastructure. It also enshrines in legislation the voluntary demand aggregation mechanism for gas, as proposed by Parliament. Fourth edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure. The first edition was drafted by Alex Wilson. Source : © European Union, 2024 - EP

This study identifies data gaps throughout the textile industry supply and value chains, from fibre to the end of product life stage and assesses current initiatives addressing them. It also exposes the following challenges: missing data, data accessibility, data management, reliability and relevance, mandatory or non-mandatory data collection, data sharing, and data cost issues. Drawing on a literature review, 17 stakeholder interviews and 2 expert workshops, the study gathers essential insights from the field, and evaluates current and forthcoming initiatives for addressing data gaps. It goes on to discuss policy options geared towards using data to help achieve a sustainable transition and circular economy in the textile sector. Views on how to use data to tackle the fast fashion phenomenon are presented at the end of the study. Source : © European Union, 2024 - EP

The rise of e-commerce has required changes to the system of value-added tax (VAT) to ensure that the rules allow for smooth and fraud-proof transactions between customers and sellers. The major overhaul of the VAT rules for e-commerce in 2021 introduced a series of important simplifications for businesses, such as the creation of an import one-stop shop (IOSS). The IOSS allows businesses to declare and remit VAT on all their business-to-consumer (B2C) distance sales of imported goods across the EU (i.e. goods bought online and dispatched/transported from a third country to a customer in the EU) through one single VAT return, rather than in each country where they make a sale. However, at the moment, the IOSS operates with a threshold, whereby the distance-selling of imported goods with a value above €150 cannot be declared in the IOSS. Having assessed that the €150 threshold constitutes a burden to businesses, the Commission proposed on 17 May 2023 to further expand the IOSS by removing the threshold entirely. This change would open the use of the IOSS to a wider range of businesses, which would benefit from lower compliance costs. The proposal is subject to a special legislative procedure, requiring unanimous support in the Council, following consultation of the European Parliament and the European Economic and Social Committee. Negotiations in the Council are on-going. Third edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure. Source : © European Union, 2024 - EP

On 8-17 July 2024, the UN high-level political forum on sustainable development assessed progress towards SDG 2: 'End hunger, achieve food security and improved nutrition and promote sustainable agriculture'. It is unlikely this goal will be met by 2030. Instead, food insecurity, malnutrition and food prices have worsened globally. The primary causes of food insecurity are threefold: conflict, economic instability, and extreme weather conditions, which frequently intersect and exacerbate one another. Russia's war of aggression against Ukraine has hindered the recovery from the COVID-19 pandemic and worsened the worldwide food crisis. This has shown that several food systems are unsustainable, relying too heavily on vulnerable global chains. This unsustainability is also highlighted by the fact that a third of the food produced globally is wasted or lost. In the EU itself, food inflation owing to the impact of extreme weather events, the pandemic and the war in Ukraine has led to more than eight EU citizens in 100 being unable to afford a proper meal on a regular basis, while 50 in 100 are overweight. Better nutrition and agricultural sustainability are at the core of the EU's new common agricultural policy and the 'farm to fork' and biodiversity strategies. These are now being put to the test by the impact of COVID-19 and Russia's war on Ukraine. In poorer countries, the EU and its Member States act on food insecurity through humanitarian aid and development cooperation. The EU bases its external action towards SDG 2 on comprehensive strategies in conflict areas, substantial research capacities and the promotion of international cooperation. However, its impact is difficult to assess, while other EU policies, particularly on trade, have a spillover effect on other food systems around the world. This briefing updates a previous edition by Anna Caprile and Eric Pichon, published in January 2022. Source : © European Union, 2024 - EP

This handbook provides an illustrated overview of the main fishing gears currently used in the EU. For each gear, the handbook outlines the essentials of its design, operation method and target species, and shows the main Member State fishing fleets that use it. In addition, it indicates the name of the gears in Danish, German, Spanish, French, Italian, Dutch and Portuguese. Source : © European Union, 2024 - EP

The aim of the two proposals, discussed in this briefing, was to improve the use, quality of, and access to traineeships across the EU. In line with the 'evaluation first' principle, the impact assessment (IA) accompanying the two proposals was prepared after the evaluation. Its intervention logic captures the problem, the specific objectives and the internal drivers well. However, more attention could have been devoted to the external drivers. The IA describes the areas and the policy options alongside the accompanying measures. The range of policy options and measures is broad but not all of them seem feasible. In addition, the relationship between the elements presented in the problem tree is difficult to follow. The IA assesses the impacts of the initiative from an economic, social and fundamental rights' point of view, and also mentions territorial impacts. Overall, it provides a broad quantitative and qualitative assessment of impacts and identifies those Member States that are most likely to be affected, yet does not go into much depth in quantifying the effects of specific measures. As the two proposals are highly relevant for SMEs, a comprehensive SME test and a competitiveness check were carried out. The IA and its annexes address data limitations and uncertainties in a transparent manner. Source : © European Union, 2024 - EP

When businesses start operating across borders, they are faced with a new and unfamiliar corporate tax system in each EU Member State. As a result, businesses with cross-border activities have to spend time and resources on understanding and complying with complex local corporate tax rules. This represents a significant administrative burden, in particular for small companies. On 12 September 2023, to lower tax compliance costs, the European Commission tabled a proposal for a Council directive to establish a head office tax system (HOT) for small businesses. Under HOT, micro-enterprises and small and medium-sized enterprises operating exclusively through permanent establishments would be able to continue to apply their national corporate tax rules – i.e. the rules they are already most familiar with – when they expand across borders. They would also be able to file a single tax return in the Member State of their head office, rather than separate tax returns in the different Member States. This would cut compliance costs and remove a significant barrier to the cross-border expansion of small companies in the single market. The proposal is subject to a special legislative procedure, requiring unanimous support in Council, following consultation of the European Parliament and the European Economic and Social Committee. The European Parliament adopted its (non-binding) resolution in April 2024. Negotiations in Council are still on-going. Third edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure. Source : © European Union, 2024 - EP

While shell companies – company entities that have no or minimal economic activity – can serve useful commercial and business functions, they are sometimes abused by companies or individuals for aggressive tax planning or tax evasion purposes. To ensure sustainable public finances under the exceptional circumstances imposed by the COVID-19 pandemic, in December 2021 the European Commission presented a directive on preventing shell companies from misusing their structure for tax purposes ('Unshell'). The proposal introduces a 'filtering' system for EU company entities, which will have to pass a series of gateways, relating to income, staff and premises, to ensure there is sufficient 'substance' to the entity. Those entities that are deemed to be lacking in substance are presumed to be 'shell companies' and, if they are unable to rebut this presumption through additional evidence regarding the commercial, non-tax rationale of the entity, they will lose any tax advantages granted through bilateral tax treaties or EU directives, thereby discouraging their use. The directive requires unanimity in the Council for its adoption, following consultation of the European Parliament. Parliament adopted its (non-binding) report in January 2023. Negotiations in the Council continue. Third edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure. Source : © European Union, 2024 - EP

In June 2024, European citizens voted for their representatives in the European Parliament for the next five years, to defend their interests in the EU. This year's election saw turnout of 51.1%, slightly higher than the previous election in 2019 (50.7%). The number of political groups has increased from seven to eight at the start of the new term. Half of the elected Members (MEPs) elected are new to the European Parliament. Women now make up 38.5% of all MEPs; this share is 2.1 percentage points lower than in the previous term (40.6%), the first significant drop since direct elections started in 1979. Source : © European Union, 2024 - EP

The first plenary session of the tenth parliamentary term took place in Strasbourg from 16 to 19 July 2024. The Members of the new Parliament (sitting from 2024 to 2029) elected certain of their peers to the most important offices in Parliament – the President, Vice-Presidents and Quaestors. During this session, Members also decided on the numerical strength of the standing committees, sub-committees and delegations. They held a debate on the need for the EU's continued support for Ukraine, and then adopted a resolution reiterating support for Ukraine and condemning, in particular, Russia's recent attacks on the country. However, the most discussed business was the debate with the candidate for President of the European Commission, and Members' subsequent vote to confirm Ursula von der Leyen as President-elect for a new five-year mandate. Source : © European Union, 2024 - EP

The pricing of goods and services traded within a multinational group is known as 'transfer pricing'. The prices charged on such transactions affect the allocation of income among the different entities of the multinational group (and consequently, the taxable profits in each country). To ensure that transactions between group entities are priced in a way that reflects their fair market value – i.e. as if the transactions were made between independent entities – countries have put in place strict transfer pricing rules. While these rules are established at the national level, EU Member States generally align with the (non-binding) OECD Guidelines. However, the number of transfer pricing tax disputes has risen over the years, with both tax authorities and companies dedicating significant time and resources to resolving such cases. On 12 September 2023, the European Commission tabled a proposal for harmonising transfer pricing rules within the EU. The main goal is to establish a common approach at the EU level towards transfer pricing and define key transfer pricing principles to be incorporated into EU law. The European Parliament adopted its (non-binding) resolution in April 2024. Negotiations in Council are on-going. Third edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure. Source : © European Union, 2024 - EP