3b. If the payer prior to the deadline set out in paragraph 2 or resulting from paragraph 3 has authorised the payee to collect recurring direct debits, in accordance with national regulations, then the payment service provider shall automatically switch to SEPA direct debits without levying any charges.

30. Underlines that, in the global context of tax competition, developing countries derive a larger part of their tax revenues from capital and have little possibility to collect alternative taxes; notes that the decline in tax revenues because of that competition should be addressed by broadening the tax base or by abstaining from that competition altogether if convenient and if other factors like good governance, legal security and avoidance of nationalisation are jeopardised in the competition process for FDI; points out that low-income countries need the capacity to effectively negotiate with multinational corporations in order to secure an equitable share of corporations‘ profits and recalls that they should have adequate policy spac ...[+++]e to impose capital controls as the right to collect and redistribute tax revenues is a key criterion for the sovereignty and legitimacy of states and therefore a prerequisite for good governance;

30. Underlines that, in the global context of tax competition, developing countries derive a larger part of their tax revenues from capital and have little possibility to collect alternative taxes; notes that the decline in tax revenues because of that competition should be addressed by broadening the tax base or by abstaining from that competition altogether if convenient and if other factors like good governance, legal security and avoidance of nationalisation are jeopardised in the competition process for FDI; points out that low-income countries need the capacity to effectively negotiate with multinational corporations in order to secure an equitable share of corporations‘ profits and recalls that they should have adequate policy spac ...[+++]e to impose capital controls as the right to collect and redistribute tax revenues is a key criterion for the sovereignty and legitimacy of states and therefore a prerequisite for good governance;

Statement by Commissioner Monti concerning the control of fiscal state aids

I have instructed the Commission's Competition Department to examine all the relevant cases of fiscal state aids in business taxation, so as to allow the Commission to comply fully and promptly with its own institutional obligations, also on the basis of the Commission notice on the application of the state aid rules to measures relating to direct business taxation of 11 November 1998.

The Commission has exclusive powers to control State aid in the Community and the Member States themselves have repeatedly asked the Commission to exercise these powers also in the area of fiscal state aids.