Panama Papers Inquiry: only more cooperation can prevent tax evasion

Caruana Galizia's murder shows the enormous quagmire of money laundering, corruption and tax evasion

"Only much stronger cooperation both within the EU and on an international level can prevent tax evasion and money laundering. This is the main finding of the Panama Papers Inquiry Committee", said Luděk Niedermayer MEP and Dariusz Rosati MEP ahead of today's vote on the final report of the Inquiry Committee.

The EPP Group is pushing for more joint action in these fields. "Calling for more cooperation sounds like a truism. But the sad truth is that the selfishness of many countries only damages them further. Insufficient exchange of information, improper enforcement of EU law and too complex national tax systems make tax evasion and money laundering possible. This shatters citizens' trust in our tax systems", Niedermayer and Rosati stressed.

The sad truth is that the selfishness of many countries only damages them further MEPs Luděk Niedermayer and Dariusz Rosati

Niedermayer calls for the speeding-up of the work on the two planned blacklists of tax havens and of money laundering places. "We must make sure that these blacklists come with objective criteria and with sanctions that motivate the listed countries to get off the list. The goal of such lists is not to punish, but to change the behaviour of such jurisdictions and prevent tax fraud", Niedermayer said.

Rosati also calls for a "deep and thorough investigation" into the murder of the Maltese investigative journalist Daphne Caruana Galizia. "This murder shows the enormous quagmire of money laundering, corruption and tax evasion. Caruana Galizia revealed the Maltese government's involvement in the Panama Papers", he said.

Niedermayer and Rosati see an urgent need for a reform of the so-called 'Code of Conduct Group on Business Taxation' set up by Member States in 1998. "We ask ourselves whether this group has been twiddling its thumbs for almost 20 years. The Panama Papers are proof that the group isn't functioning properly", they stressed.

Niedermeyer is the EPP Group's Rapporteur of the final report of the Panama Papers Inquiry Committee. Rosati is the EPP Group's Spokesman in the same committee.