Indirect Taxes In European Union

The main objective of our research is to make extensive analysis on the budgets of EU member states in order to emphasize the main trends within the period 2000-2011. We are using common measures such as: data in millions of euro, percentage of GDP, fixed base index, chain based index, percentage of total revenues or total taxes. Through this study case, we aim to create a good presentation of the EU. State members, an image of the percentage modification related to a base year, achieved by the main budgetary components from year to year. On our case study we are focusing only in indirect taxes since these are, for many EU countries the main budgetary revenues. Another important reason for focusing on indirect taxations is the fact that most countries during the financial crises consider readjusting of these taxes on of the main tool to adapt to the lack of public resources. Our research is based on data extracted from EUROSTAT and our calculation and compilations. Our working hypothesis is that despite huge differences in tax policy among all 27 European countries there are some common trends and Romanian tax policy must adapt and must follow them. Another important element is that trends in fiscal policy may vary due different elements such as: level of development, social policy issues, systems of financing different public expenditures, number and structure of populations, regional and local objectives and many others. The VAT, the main important indirect tax is extensively annualized since most of the trends of taxation are dictated by the trends of VAT. Romania is a special example, not the only one., where VAT has significance importance for budgetary revenues and was the main element of fiscal adjustments during the financial crisis.