TAE: Hands off the wealth tax – No harmonisation or minimum taxes in Europe

The Taxpayers’ Association of Europe (TAE) expressed its horror at the EU debate in the European Parliament on the taxation of the so-called “ultra-rich”.

Such discussions must be nipped in the bud, says Michael Jaeger, President of the Taxpayers’ Association of Europe! The taxation of income and wealth is and remains an exclusively national matter. The European taxpayers’ organisation categorically rejects EU harmonisation or a minimum tax on wealth. Nor should the EU interfere in matters of national social security contributions! In particular, the Taxpayers’ Association warns that under no circumstances should there be any taxation of wealth.

Taxing wealthy individuals would have the opposite effect to the EU’s intended goal, namely lower rather than higher tax revenues. France serves as a cautionary example: the mere announcement of a wealth tax led to a capital outflow of 35 billion euros. As examples from Sweden and other countries show, excessive wealth or inheritance taxes ultimately lead to disinvestment and capital flight. This has consequences for jobs, the economic fabric and falling tax revenues.

The facts

On Thursday, 11 December 2025, Members of the European Parliament discussed the taxation of the so-called ‘super-rich’ at a hearing of the Subcommittee on Taxation (FISC). They discussed how an agenda could be developed to create a fairer tax system from the EU’s perspective. 

Specifically, the EU Tax Observatory proposed the idea of a two per cent minimum tax on wealth, which would then apply to EU citizens with assets exceeding 100 million. 

Some experts suggested examining proposals for wealth taxation. The European Commission was called upon to present a legislative proposal to harmonise tax rules. 

See also:

European Parliament press release
https://www.europarl.europa.eu/news/de/press-room/20251209IPR32113/taxing-the-ultra-rich-on-the-agenda-of-tax-matters-subcommittee

European Parliamentary Research Service (EPRS)
https://acrobat.adobe.com/id/urn:aaid:sc:EU:5a68c336-763f-43ce-94ff-64f3ce567cb6

This potential tax harmonisation is not the EU’s responsibility! It should neither discuss it, nor harmonise the taxation of income or wealth, nor introduce higher or new taxes to ensure the often-cited ‘tax fairness’. 

The Taxpayers’ Association fears that an EU-wide wealth tax on the so-called “super-rich” could sooner or later affect all EU citizens and businesses. In this context, we are also concerned about the introduction of the EU asset register to combat money laundering, tax evasion and terrorist financing. However honourable and well-intentioned these goals may be, there is a latent risk that the asset register will be extended to cover all assets within the EU. In light of the current debate on the taxation of the “super-rich”, the EU asset register appears to us in a completely different light, says Michael Jaeger. 

Our greatest concern is that, under the guise of tax justice, the EU is ultimately attempting to gradually gain access to EU-wide assets in order to pave the way for hoped-for additional revenue. In reality, however, this serves only to mask the excessive spending and debt policies of the EU and many EU Member States and, to put it simply, to raise more money so that even more can be spent. It would be all too convenient for the countries concerned to shift the blame onto the EU and claim that they are being forced by the EU to levy new or higher taxes. “Let no harm come to those who think ill.” 

The Euroe Taxpayers’ Association calls on the European Parliament and the European Commission to put an immediate end to this discussion! 

Brussels/Munich, 16 December 2025