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Unformatted text preview: d betting, are not subject to any
measure aimed at avoiding fiscal delocalization, which, in fact, is impossible.
Estate taxes and duties on gifts rely on fairly mobile tax bases. While mobility is limited in relation to the taxes examined
later, the reason for protecting the regions against competition in respect of these taxes is that the amounts in question
are substantial. In the case of estate taxes, for example, only 10.8% of lineal estates leave assets in excess of
5 million BEF, although they account for 47.5% of the overall tax base and over 80% of revenues from the tax.68 In order
to limit the competition that could arise in order to attract this valuable 10.8%, it has been decided to introduce
constraints not on the tax rates but on the definition of the criterion of location. The region that benefits from estate taxes
(and duties on gifts) is the one in which the deceased person (the donor) is established and if the deceased person (the
donor) lived in several places during the five years preceding the death (or gift), the region in which the individual was
established for the longest time during this period will benefit from the tax.
The road fund tax on automobiles, vehicle registration fees and the Eurovignette are taxes in respect of which the bases
are deemed to be highly mobile. In the first two instances, revenues are collected at the place where the individual or
corporate entity in whose name the vehicle is registered is established. This criterion creates a risk of delocalization,
mainly among businesses that are tempted to set up operations in the region where the tax is the lowest. To remedy this
situation, the Lambermont agreement obliges the regions to conclude a cooperation agreement covering cases where
the tax is paid by a corporation, an autonomous government-owned enterprise or a non-profit association engaged in
leasing.70 The cooperation agreement centres on the definition of the tax base, the tax rate and exemptions. Such a
cooperation agreement is also imposed in conjunction with the Eurovignette in cases where the vehicle is registered
abroad. However, the Eurovignette is a special case, since the rate is actually set by six countries of the EU. 4.2.2. Budgetary effect of the Lambermont agreement: the big unknown The problems stemming from the projection of the budgetary effect of regionalizing taxes reveals the spirit in which the
agreement was concluded. A series of taxes were regionalized without the issue of the regionalization’s technical
feasibility being raised. Certain taxes that are still under federal jurisdiction are registered without taking into account
their regional localization, since this information is not necessary under the current framework. The Lambermont
agreement stipulated that each region’s negative term is the average, between 1999 and 2001, of the revenues from
taxes transferred located in the region. We can, consequently, ask on what basis regional breakdowns will be made in
respect of these three years.
Furthermore, revenues from reg...
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