Raise tax held in European shelter (7)
I believe the answer is:
elevate
'raise' is the definition.
('elevate' can be a synonym of 'raise')
'tax held in european shelter' is the wordplay.
'tax' becomes 'vat' (British sales tax).
'held in' indicates putting letters inside.
'european' becomes 'e' (abbreviation e.g. EU).
'shelter' becomes 'lee' (I've seen this before).
'e'+'lee'='elee'
'vat' placed inside 'elee' is 'ELEVATE'.
(Other definitions for elevate that I've seen before include "Raise, exalt (in rank)" , "Raise up, hold aloft" , "Lift - exalt - promote - cheer" , "Lift up or ennoble" , "Hoist" .)