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High taxes on labour encourage businesses to minimize their number of employees. Resources, however, remain untaxed; they are used unrestrained. This system causes unemployment, overconsumption and pollution.
 
Ex’tax is the proposal to bring tax on natural resource use up and tax on labour down. This creates incentives to save natural resources. It also makes services more affordable and boosts manpower, craftsmanship and creativity.

Ex’tax enables an inclusive, circular economy.

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Shifting taxes away from labour should be a priority for all Member States.

- European Commission Read more