Page 8 - ARUBA TODAY

A8 WORLD NEWS
Thursday 8 March 2018

EU turning the screws on Britain over post-Brexit relations

By RAF CASERT pean mainland.
Associated Press Last Friday, May laid out her
BRUSSELS (AP) — The Eu- hope that of "the broad-
ropean Union turned the est and deepest possible
screws on Britain Wednes- agreement — covering
day, insisting that Prime more sectors and cooper-
Minister Theresa May's ating more fully than any
ambition to maintain an free trade agreement any-
intense post-divorce part- where in the world."
nership where London can EU leaders have warned
pick and choose the sec- that May's insistence on
tors it maintains close eco- leaving the EU's tariff-free
nomic ties with was nothing single market and customs
but a pipe dream. union means the close ties
Both EU President Donald she is seeking are impos-
Tusk and the European Par- sible.
liament drafted texts mak- Beyond the economic di-
ing it clear that any hopes vergences, Tusk insisted
Britain could "have its cake cooperation should be
and eat it" after Brexit, were smooth when it comes to
wildly overambitious. In- defense, foreign affairs
stead, they painted a pic- and facing down common
ture of drift and economic Britain's Prime Minister Theresa May greets EU Council President Donald Tusk at 10 Downing Street threats like terrorism and in-
loss for a country that has in London. ternational crime.
been a member of the EU (AP Photo/Frank Augstein) And he sought to eke out a
since 1973. special place for the City of
The post-Brexit economic nations that Britain is nego- what is its biggest trading The comparison will likely London’s financial services.
relationship "will only be a tiating with. partner. sting, not least because Hammond argues that the
trade agreement," similar Though Britain is due to Tusk said on a free trade Canada is some 5,000 kilo- hub “is not just a British asset
to those the EU has with leave the EU in March 2019, agreement with Britain that meters (3,100 miles) away but a European asset too,”
an array of other nations, there is still uncertainty over "we will do our best, as we as opposed to the 50-kilo- and that it is in the interests
said Tusk, who coordinates how it will do so and what did with other partners, meter stretch that sepa- of both sides to reach a
policy between the 27 EU relationship it will have with such as Canada recently." rates Britain from the Euro- deal on that.q

EU criticizes 'aggressive' tax practices of 7 member states

By RAF CASERT have tax policies that un- EU operates as a tax haven ers and local companies. one tax-advantageous
PAN PYLAS dermine the integrity of the and arguing that progress "The big offenders are not country — are estimated at
BRUSSELS (AP) — The Eu- European single market. is being made among the just distant tropical loca- between 50-70 billion euros
ropean Commission criti- "These practices have the seven, Moscovici said it's tions like Panama and Ber- ($62-86 billion). Perhaps the
cized seven member states potential to undermine the imperative those named muda," said Sven Giegold, most high-profile so-called
Wednesday for "aggres- fairness and the level play- accelerate plans to amend tax justice spokesperson "sweetheart deal" involved
sive" tax policies designed ing field in our internal mar- aspects of their tax systems for the Greens in the Eu- Apple. The Commission
to undercut others in the ket and they increase the that undermine the cred- ropean Parliament. Many concluded in 2016 that two
race to lure multinational burden on EU taxpayers," ibility of the EU. campaigners think the EU Irish tax rulings allowed the
companies, a censure that said Pierre Moscovici, the The criticism follows con- should have a minimum world's biggest company
prompted a sharp rebuke commissioner responsible cern over how some coun- corporate tax rate and by market capitalization
from the leader of one of for tax policy. tries have used their tax push for a tax regime that to pay less tax than other
the countries named. "We must be sure that fair regimes to attract multina- reflects where companies businesses since 1991 by
The European Union's exec- taxation becomes the rule, tionals like Amazon, Face- earn their profits. Accord- registering sales across the
utive branch pointed the a rule without any excep- book and Starbucks. The ing to the Commission, rev- region in Ireland at a far
finger at Belgium, Cyprus, tions, outside the EU and in- worry is that the companies enue losses from profit shift- lower tax rate. In 2014, it
Hungary, Ireland, Luxem- side the EU," he added. end up paying far less tax ing within the EU— where said Apple paid an effec-
bourg, Malta and the Neth- While dismissing the notion than they should to the det- companies report earnings tive corporate tax rate of
erlands, arguing that they than any one country in the riment of European taxpay- from across the region in just 0.005 percent.q