Answer given by Ms Thyssen on behalf of the European Commission
16.10.2018
With respect to taxation of self-employed persons, the Valued-added tax (VAT) must be distinguished from direct taxation. The taxable amount for VAT, an EU-harmonised tax, includes, as general rule, everything which constitutes consideration in return for a supply. As for direct taxation, there is no EU legislation on taxation of individuals carrying out economic activities.
Thus, Member States remain competent to design their national tax systems, as long as they do not discriminate on the basis of nationality or residence nor unduly restrict the right to free movement. It appears however that the issues raised by the petition are of a purely national nature.
The European Pillar of Social Rights, proclaimed by the European Parliament, the Member States and the Commission, contains several principles responding to today's labour market realities.
The Commission's proposal of December 2017 for a directive for Transparent and Predictable Working Conditions[1] aims to ensure that all workers benefit from basic rights as to information and predictability of working conditions. In March 2018 the Commission issued a proposal for a Council Recommendation on access to social protection for all[2] which encourages Member States to have all workers and self-employed adhere to social protection schemes.
Contributions to social protection should be proportionate to the contributory capacity of workers and self-employed and the calculation of social protection contributions and entitlements of the self-employed should be based on an assessment of their income base. The design and management of social protection systems, including their financing, are a responsibility of the Member States[3].
From the information provided to the Commission, there is no indication that penalties are imposed in a discriminatory manner towards self-employed established in another Member States.