Tax Simplification: Recent EU Developments
The European Commission has proposed a new directive to simplify direct taxation rules across the EU to reduce administrative burdens for cross-border businesses. The package aims to save companies approximately 8 billion euros annually and is expected to be implemented between 2028 and 2030.
On 24 June 2026, the European Commission adopted a proposal for a Council Directive as regards the simplification of the Union framework on direct taxation and supporting growth and competitiveness of the EU . This proposal is designed to streamline existing EU rules on direct taxation and thereby reduce compliance burdens and administrative costs for businesses operating cross-border. The Commission expects this tax simplification package to save EU businesses around 8 billion annually, of which 3.3 billion is expected to relate to administrative costs.
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