Plans to create a pan-European corporate tax system are to go ahead despite opposition from some European Union countries, EU Tax Commissioner Laszlo Kovacs has said.
Speaking to the Financial Timestoday, Mr Kovacs said the objections of seven member states would not scupper the project, which was well supported by 10 other EU countries and had the cautious backing of the remaining eight.
The common tax base, like the euro, could be used by a limited number of member states, Kovacs explained.
"If it does not reach a consensus (in 2008), we can go for a second round under enhanced co-operation with 18 countries, which would be a great step forward," he told the newspaper.
The commissioner said he was focused on creating the common consolidated corporate tax base out of the EU's 25 corporate tax systems in spite of political and technical hurdles.
However, there was no question of harmonising tax rates, he told the FT.
