EU targets large firms to unlock budget deal

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European Council President António Costa suggested narrowing a controversial business tax to only apply to large firms with a turnover exceeding €750 million per year, two EU diplomats briefed on the discussions told POLITICO. Costa hopes these concessions will facilitate an overall agreement on new EU-wide levies, known as own resources, which have emerged as a major stumbling bloc in the ongoing negotiations. The idea was mentioned in meetings, known as “confessionals,” between Costa’s head of cabinet Pedro Lourtie and EU governments Thursday, to test the waters on the most sensitive aspects in the negotiations.