Euroquotes 11: Tax and Power

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"... the Member States have definitely transferred sovereign rights [to the community]. They cannot reverse this process by means of subsequent unilateral measures..."

Klaus-Dieter Borchardt, EU Commission legal advisor and author. The ABC of Community Law, 1994, regarding a 1964 European Court ruling.

"We do not believe that EMU will work well - and may not even survive in the long-term - without a further transfer of political power to the EU so that taxes can be raised centrally and provide for the necessary fiscal transfers. At present, the EU's budget is only 1.27 per cent of total GDP. In America, 25 per cent or more of US GDP is available for [Federal] transfers. This, above all, has ensured that the American monetary union has been a success."

'In or out - the case against the Euro', Fabian Society Pamphlet by Janet Bush and Larry Elliott, Labour party policy wonks. 3 August 2002.

"...the British people will have to realise that the Union cannot survive without an independent stream of income."

Valéry Giscard d'Estaing, French President 1974-1981, President of Commission for drafting the EU Constitution set up in 2002. Comment to Gisela Stuart during drafting discussions. Her reply, that if any mechanism were to be considered it would have to be transparent, was thought to be "a joke in bad taste" by EU Budget Commissioner Michaele Schreyer.

"European Army and a European Police Force lie at the end of the road to European Union."

Helmut Kohl, German Chancellor 1982-1988, who presided over reunification of Germany but whose legacy was tarnished by a massive party financing scandal. Source unknown but widely quoted as being said in 1992. He may have hoped this would sound reassuring.

"By displaying a sign stating "Sprouts 39p per Pound" [you did] indicate that the sprouts were for sale to a customer without there being indicated the unit price of the product in the required Metric unit ... Before deciding on the appropriate course of action to be taken against you, this authority would wish to carry out a formal tape recorded interview in accordance with the provisions of the Police and Criminal Evidence Act."

Mrs Sharon Foster, Cornwall County Council Trading Standards Officer. Notice & letter delivered to "Metric Martyr" J Harman, 1 February 2001.

"In 2008 I hope to see the EU member state teams in Beijing carry the flag of the European Union alongside their own national flag as a symbol of our unity"

Romano Prodi, EU Commission President. 31 August 2004, comparing the EU's 86 gold medals at the 2004 Athens Olympics to the US's paltry 35. The EU sent more than four times as many athletes to Athens as the USA. UK athletes responded by saying they would refuse to compete.

"Here in Brussels, a true European government has been born. I have governmental powers, I have executive powers for which there is no other name in the world, whether you like it or not, than government."

Romano Prodi, EU Commission President. European Parliament, November 1999. Steady there, big guy - the last Italian leader who got too big for his boots ended up hanging upside down from a lamp-post with his mistress!

"But what is the Commission? We are here to take binding decisions as an executive power. If you don't like the term government for this, what other term do you suggest? ... I speak of a European government because we take government decisions."

Romano Prodi, EU Commission President. The Times, 27 October 1999. Worrying when slightly potty autocratic centrists start enjoying their job too much, isn't it.

"We should create an 'own resource' for the Union in the form of a direct income tax, independent of nationality."

Jose Maria Gil-Robles, President of the European Parliament. Daily Telegraph 25 October 1998. Ever heard of "No taxation without representation", Mr Gil-Robles?

"The Council of Ministers will have far more power over the budgets of the member states than the federal government in the United States has over the budget of Texas"

Jean-Claude Trichet, Head of European Central Bank. The European, 13th December 1998.

"The last time a new tax was launched in The Netherlands it resulted in the Eighty Years War. I am not sure a new tax for the EU would be much better this time."

Gerrit Zalm, Dutch Finance Minister. Televised debate with proponents of direct taxation by the EU from Belgium and Luxembourg, 9 July 2001.



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