The Single Euro Payments Area (SEPA) - the pan - European market for the European integration

Since 1 January 2002, consumers have been paying with euro banknotes and coins everywhere in the euro area, irrespective of the country, but non – cash payments between two countries continued to be expensive and complicated. Because of this fact, further integration was needed. To push the process forward, the European Union adopted a new law in December 2001 (Regulation no. 2560/2001). Banks had to charge the same fees for cross – border and national payments, but the costs for processing cross – border payments were still high. The banks could no longer pass on the costs to the customers, so they were losing money. This drove the banks to create the European Payments Council (EPC) in 2002. The EPC is in charge of the SEPA project. The goal is to turn the individual national payment markets into one pan – European market. For customers, SEPA means that payments to any person in the euro area will be quick and uncomplicated.Single Euro Payment Area, non-cash payments, integration, payment markets

European Central Bank – independence, transparency and accountability

The European Central Bank (ECB) is the embodiment of modern central banking: the overriding objective of its monetary policy is price stability; it is independent within a clear and precise mandate; and it is fully accountable to the citizens and their elected representatives for the execution of this mandate. These features are not necessarily the result of purely European developments; they are in line with the worldwide trend. However, almost nowhere are these features spelled out so clearly and firmly than in the organic law of the ECB, the Statute of the European System of Central Banks (ESCB) and of the ECB. Their embodiment in the EC Treaty, with quasi-constitutional status, underlines their importance in the new monetary regime of Europe. The codification of central bank law in the EC Treaty and the Statute of the ESCB is likely to serve as a benchmark for central bank law outside the EU: Switzerland, for example, has recently revised its National Bank Act along the lines of the Statute of the ESCB.European Central Bank, transparency, efficiency

Target2-securities - a central settlement hub for the euro

TARGET2 – Securities will be a platform for the cross – border and domestic setlement of securities against central bank money. The platform will service the Central Securities Depositories (CSDs). It will be run by the Eurosystem. The TARGET2 – Securities project pursues cost reduction by increasing competition and price transparency. TARGET2 – Securities is on track from 17 July 2008, when the Governing Council of the European Central Bank (ECB) decided to launch the TARGET2 – Securities (T2S) project and to provide resources required until its completion. It also decided to assign the development and operation of T2S to the Deutsche Bundesbank, the Banco de Espana, the Banque de France and the Banca d’Italia.Target2-securities, Eurosystem, cost reduction, securities, price transparency

The Collateral Central Bank Management Project (CCBM2) - a single plaform for Eurosystem in managing collateral for domestic and cross-border operations

On the 17 July 2008, the European Central Bank decided to launch the CCBM2 (Collateral Central Bank Management) project. CCBM 2 is a medium term project for the next generation of collateral management which is used by the Eurosystem National Central Bank’s on a voluntary basis. The Governing Council of the European Central Bank (ECB) also assigned the development and operation of CCBM2 to the Nationale Bank van België/Banque Nationale de Belgique and De Nederlandsche Bank with the view for exploit all possible synergies and avoid any overlap between CCBM 2 and TARGET 2 Securities (T2S). The primary objective of the CCBM2 project is to consolidate and to increase the efficiency of the Eurosystem’s internal system for collateral management. The Eurosystem will maintain an open dialogue with market participants throughout the subsequent phases of the CCBM2 project.project, efficiency, collateral management

The emerging role of expectations in conducting and coordonating monetary policy

Expectations play a key role in the economic theories that underpin most macroeconomic models. Planning for the future is a central part of economic life. The need to make decisions about the type of car to buy, the amount of education to pursue, and the fraction of income to save forces households to think about which choices make the most sense not just for today, but for years into the future. Similarly, businesses firms, in deciding where to locate factories and offices, what equipment to install, and what products to develop and produce, make decisions with the consequences that may last many years. Individuals must make inform guesses about circumstances in the years ahead and then base decisions on these expectations. In the context of constructing financial credibility through an independent central bank and transparency strategies, the central bank must take into account some important features like: elaborate and develop policy responses to the rational expectations of the market actors, taming financial market volatility and structuring financial markets outcomes to favor the governments that implement them, construct and develop ideological and intersubjective strategies, with cognitive and ideational constitutive effects.monetary policy, theory of expectations, rational expectations

The commpliance of price stability, financial stability and financial efficiency

The current financial crisis has prompted significant debate around the proper management of monetary policy and its role in preventing financial crises, particularly when they grow to the size of the one we are now seeing in developed economies. That’s why we think that it is very important to look upon the role that central banks play in both price stability and financial stability. It is interesting to note that financial stability has been overlooked for so long, or has been the secondary goal of the of central banks. Some people even though that the only objective of central banks was price stability. However, at their origin, these institutions were created precisely to deal with the financial instability caused by frequent bank runs in the late 19th and early 20th century. Furthermore, the concern of price stability was even institutionalized later on around the world, with the inflation targeting regime being the latest stage of its development.price stability, financial efficiency, the management of monetary policy, central banks policies

IMPROVEMENT OF THE FISCAL CLAIMS MANAGEMENT SYSTEM

The conduct of the fiscal administration regarding the simplification and modernization of the systems of statements and payment of tax obligations is a necessary task to improve the relationship between the fiscal administration and the taxpayers, and also to induce efficiency regarding the management of fiscal duties in a single system. Regrouping the collecting of taxes under a single administration by taking over the functions of the social security administration has been the cornerstone of establishing a simplified tax administration. Improving the methods of compulsory enforcement of tax claims, the implementation of the management by objectives and the improvement of performance indicators of the fiscal administration activity, are considered to be the commitment of the fiscal body regarding the process of improving the collection of public financial resources.management of statements, budgetary arrears, efficient collection, fiscal indiscipline, performance indexes

THE VALUE ADDED TAX AND THE EVASION CHAIN OF INTRA-COMMUNITARIAN VAT

The relationship IRS - taxpayer runs the risk of turning into a psychological war in which, however, given the positions held, the IRS is by far on a favorable footing. Between the apparently excessively formal position held by the IRS, which seems to conceal behind the laws, and the sometimes forced interpretation of the laws, by the taxpayer, there are the courts of law, also disturbed by the legislative changes which appear to have entered a perpetual motion. The objective of the fiscal administration regarding the value added tax is to combat tax evasion and fraud. It is very important to combat evasion in the VAT field because it represents the indirect tax of the largest share in the consolidated general budget. VAT evasion represents the intention of not paying the tax, withholding or not declaring it, or requesting its refund which would not be fit, due to the exaggeration of the deductible amount of the VAT. The essential aim of the IRS inspector is to verify the correctness of the declared amount of the value added tax. It should also be observed whether the incorrectness is deliberate or whether it was due to misunderstanding, carelessness or the ignorance of the payer. In all cases judgment is necessary, as for the cases of negligence the amount to be paid must be corrected and accompanied by applying fines and / or penalties, and in the cases of intended fraud legal actions are to be applied in order to obtain a conviction. Deceitful deductions represent other methods for tax evasion and are undertaken based on fake invoices, invoices often used several times for deduction, or invoices related to purchases that have never been made. Thus there are examples of economic agents who have practiced the right to deduct the VAT due to the acquisition of goods which consisted in the property of other economic agents. In other cases noticed was the deduction of VAT on goods or services that were not included in the activities of the economic agent who purchased them. Registration errors seem innocent, but they occur frequently and have a high value; for example, some economic agents do not calculate the Value Added Tax at the receipt of advanced payments from customers but when the goods are delivered.Value added tax, intra-communitarian acquisitions, IRS inspector, deduction, taxpayer