Press Release: Taxation of capital: Commission welcomes adoption by the ECOFIN Council of a recast of the capital duty directive

Following the general approach agreed on 4 December 2007, pending the opinion of the European Parliament, the ECOFIN Council adopted a recast of Directive 69/335 concerning indirect taxes on the raising of capital (capital duty directive). The European Commission welcomed this recast which simplifies the legislation and ensures that restructuring operations shall not be subject to capital duty. Capital duty is an indirect tax levied on contributions of capital for capital companies and restructuring operations involving capital companies. Today, only 7 of the 27 Member States continue to levy this tax.