In an increasingly interconnected European Union, the ability to accurately identify taxpayers across borders is essential for effective tax administration and cooperation. Tax Identification Numbers are already a cornerstone of national tax systems, offering a more reliable means of identification than names or addresses – particularly in the context of cross-border financial activity. However, the diversity in TIN formats and specifications across Member States presents significant challenges for information exchange and tax compliance.
To address these challenges, the European Commission (DG TAXUD) has commissioned a new study to explore the feasibility of introducing a common European Union Tax Identification Number (EU TIN) and its associated verification mechanisms. This initiative reflects the EU’s broader commitment to enhancing transparency, efficiency, and legal clarity in tax administration.
The purpose of the study is to assess the legal and technical feasibility of implementing a unified EU TIN system. It will examine the potential benefits and obstacles of such a system, including its compatibility with existing legal frameworks such as the Treaty on the Functioning of the European Union (TFEU), the General Data Protection Regulation (GDPR), and the Charter of Fundamental Rights. The study also aims to identify how a common TIN could support more consistent and streamlined taxpayer identification across the EU.
Spark, in consortium with Syntesia and Intellera, will lead the legal research component of the study. Our team will conduct in-depth analyses in selected Member States to identify legal and administrative barriers to the implementation of an EU-wide TIN. We will also assess the implications of the proposed system for data protection and fundamental rights, ensuring that any future solution is fully compliant with EU law.
The findings of this study will provide critical insights into the viability of a common EU TIN and inform future policy decisions in this area. By supporting this initiative, Spark is contributing to the EU’s efforts to modernise tax administration and strengthen cross-border cooperation.
