The budget Flashcards
When does the COM submit its draft budget to Council and EP?
Based on the MFF and the budget guidelines for the coming year, the European Commission prepares the draft budget and submits it by 1 September to the Council and the European Parliament.
When does the Council adopts its position?
Council first adopts its position on the draft budget by 1 October (including amendments).
When does the EP adopts its position?
position of the Parliament follows within 42 days (also including eventual amendments).
What happens if COuncil and EP diverge?
position of the Parliament follows within 42 days (also including eventual amendments).
Difference between committent and payments?
commitment is a reservation of appropriations to cover for subsequent expenses.
appropriations covering expenditure due in the current year, arising from legal commitments entered in the current year and/or earlier years.
What is the reste à liquider (RAL)?
the sum of commitments agreed but that have not yet turned into payments.
Can the budget be amended?
In the event of unavoidable, exceptional or unforeseen circumstances yes following the same general rules?
What legal procedure for budget?
The European Parliament shares with the Council the power to adopt entire annual budget through a special legislative procedure..
Who exercises budgetary control?
The European Parliament and the Court of Auditors exercise external budgetary control.
Whow discharges the COM from the budget?
The EP:
On the basis of Council recommendation, the Court of Auditors’ annual report and the Commission’s replies to any specific questions raised by MEPs
Which committee prepares the EP’s budget desisoin
Committee on Budgetary Control (CONT).
EU budget for 2020
€155.4 billion in payments
Share of CAP in 2020 budget
37%
Share of Cohesion in 2020 budget
34%
Share of administrative costs
6%
Total EU expenditure 2021-2027
MFF: €1.074 trillion
NextGenEU: 750 bn.
Maturity of EU Bonds
he maturity of the newly issued bonds will vary from 3 to 30 years.
Resources of EU
GNI contributions, VAT levy, tariffs:
New: Carbon boarder tax, digital levy, EU-ETS (by 2023)
CAP for VAT contributions
VAT bases of each country are then capped at 50% of each country’s Gross National Income (GNI) base
