‘EU Inc.’ Bill Calls for Streamlined Procedures, Deferred Taxes

A European Commission bill to reform the corporate legal framework would require tax authorities to streamline procedures and defer taxes on options, according to draft seen by Bloomberg.

The bill, known as EU Inc., is meant to offer an optional single set of EU-wide rules, instead of the current 27 regimes of the member states. Officials say doing so will reduce the duplication and paperwork associated with setting up and liquidating companies—especially innovative startups.

According to the draft, the government of the country in which a company is set up would be required to issue tax identification and value-added ...