Sophia Kircher, an Austrian MEP from the centre-right European People's Party (PPE), has asked the European Commission to address the persistent problem of double taxation on dividends for EU retail investors, warning that current procedures are impractical and lead to lost tax refunds. In a written parliamentary question dated 26 June 2026, Kircher highlighted that while the FASTER Directive (2025/50) aims to simplify withholding tax procedures, its measures will not apply until 2030 and will only partially resolve the issue. She pointed out that investors face significant practical obstacles within the EU, unlike for US securities where refunds are relatively straightforward. Kircher's questions focus on three areas: additional challenges expected for retail investors despite the FASTER Directive, further measures the Commission is considering to simplify cross-border investment taxation, and whether a standardised EU-wide 'relief-at-source' procedure is realistic in the long term. The Commission is expected to reply within approximately six weeks, and its answer will signal its policy direction on removing tax barriers in the single market. The issue primarily affects retail investors, particularly young people building private portfolios, as well as online brokers and tax authorities across member states.
Source📩 Open question ↗
Asked bySophia Kircher (PPE)