91998E0349

WRITTEN QUESTION E-0349/98

by Amedeo Amadeo (NI) to the Commission

(17 February 1998)

Subject: Environmental taxes

The Commission has issued a communication entitled "Environmental Taxes and Charges in the Single Market" (COM(97) 0009).

Will environmental taxes be set at such a level that they will not increase the total tax burden in any Member State? Will the possible effects on the competitiveness of the Community economy and its job-creating capacity be taken into account?

Answer given by Mrs Bjerregaard on behalf of the Commission

(8 April 1998)

The objective of the communication is mainly to clarify the Community legal framework for the use of environmental taxes or charges by Member States within the framework of the single market. The communication therefore does not contain any proposal for new environmental taxes at either Community or Member State level.

Member States are free to use any type of environmental taxes or charges, and set whichever rates, provided they respect the Community legal framework. The Member States normally take competitiveness aspects into account when implementing new environmental taxes or charges.

If the Member States so wish, they can use the revenues from environmental taxes to reduce other taxes, such as taxes on labour. Such an approach, so called green tax reform, has been recommended by the Commission in other documents such as the white paper on growth, competitiveness and employment(1) and the proposal for the taxation of energy products(2).

(1) COM(93) 700 final.

(2) OJ C 139, 6.4.1997.