Reform of the EU's Own Revenues and Covering the Expenditures Incurred by the Corona Crisis

Nikol Nevečeřalová

Reform of the EU's Own Revenues and Covering the Expenditures Incurred by the Corona Crisis

Publication date: 30.09.2021

Financial Law Review, 2021, Issue 23 (3)/ 2021, pp. 115 - 127

https://doi.org/10.4467/22996834FLR.21.024.14444

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Reform of the EU's Own Revenues and Covering the Expenditures Incurred by the Corona Crisis

Abstract

This contribution focus on the revenue side of the EU budget, which consists of own resources, divided into traditional resources, income in the form of a share of value-added tax, and gross national income. On 21 July 2020, the European Council agreed on a multiannual financial framework for the period 2021-2027, and in response to the pandemic situation associated with Covid-19, a temporary recovery instrument for the next generation of the EU was agreed. At the same time, from which it was apparent that it is necessary to find new own resources for the EU, and how the European Stability Mechanism (ESM) could be used to the consequences of the corona crisis. The author will focus mainly on issues on the revenue side of the Union budget and the role of the ESM.
Within the ongoing debates when the result was the coronavirus response the question arises of whether it would be appropriate and effective to introduce a common tax for the EU. The main aim of the contribution is to use the descriptive method, the method of analysis and synthesis the revenue side system of the EU budget, and the reform efforts that culminated in the reform of own resources. In the last part of the article, the author using a descriptive method on how the ESM was activated as one of the walls to maintain the stability of the euro area. Including the view of introducing a common European tax as a fiscal instrument to cover the expenditures (debt) incurred related to coronavirus response i.e. recovery instrument Next Generation.

Keywords

European tax, law, next-generation, European stability mechanism, budget.

References

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Information

Information: Financial Law Review, 2021, Issue 23 (3)/ 2021, pp. 115 - 127

DOI: https://doi.org/10.4467/22996834FLR.21.024.14444

Article type: Original article

Authors

Nikol Nevečeřalová

https://orcid.org/0000-0002-3122-7158

Department of Financial Law and National Economy, Faculty of Law, Masaryk University Brno, Czech Republic

Published at: 30.09.2021

Article status: Open

Licence: CC BY-NC-ND

Percentage share of authors:

Nikol Nevečeřalová (Author) - 100%

Classification number:

JEL Classification System:

Tax Law (K34)

Article corrections:

Publication languages:

English

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Number of downloads: 418

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