On Tuesday parliament’s finance committee discussed proposals from the European Council to help combat this fraud by improving the process of sharing of information between EU member states. Among them was Eurofisc, a computer tool aimed at facilitating exchange of financial information. The council also proposes that a state should not be able to refuse a request for an administrative inquiry when requested by more than two states.

A joint audit, meanwhile, would enable foreign civil servants in an administration to have the same access to information as a national administration.

Meanwhile, parliament heard about new rules intended to prevent VAT fraud on cars, which are labelled new in one country and sold as used cars in another.

Luxembourg proposals

Specific bills from Luxembourg were tabled on Tuesday. One which aims to ease information exchange between states would require banks and other professionals to check the beneficiaries of an account. If the beneficiary is a company, they must find the identity of those involved. This information should be documented and stored for five years, under the bill.

Bill 7223, meanwhile, provides the possibility for the administration to control not only whether the procedure is correct in form but also whether the request for exchange of information is relevant. If the current law does not provide for appeal, the text provides for the possibility of an action for annulment. It should also be noted that the request for the exchange of information should remain confidential, except in case of appeal when access to certain data would be provided to the judge and applicant.