# C_2008092EN.01001502.xml

| 12.4.2008 | EN | Official Journal of the European Union | C 92/15 |
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Reference for a preliminary ruling from the Finanzgericht Baden-Württemberg (Germany) lodged on 31 January 2008 — Grundstücksgemeinschaft Busley/Cibrian v Finanzamt Stuttgart-Körperschaften

(Case C-35/08)

(2008/C 92/28)

Language of the case: German

Referring court

Finanzgericht Baden-Württemberg

Parties to the main proceedings

Applicant: Grundstücksgemeinschaft Busley/Cibrian

Defendant: Finanzamt Stuttgart-Körperschaften

Questions referred

| 1. | (a)
Is it contrary to Article 56 EC for a natural person with unlimited tax liability in Germany to be unable to deduct losses from the letting or leasing of real estate located in another Member State — in contrast to a loss from real estate on national territory — when calculating taxable income in Germany in the year in which the loss arises? (b)
Is it relevant whether the natural person made the real estate investment himself or does an infringement arise also where the natural person has become the owner of the real estate located in another Member State by way of inheritance? | (a) | Is it contrary to Article 56 EC for a natural person with unlimited tax liability in Germany to be unable to deduct losses from the letting or leasing of real estate located in another Member State — in contrast to a loss from real estate on national territory — when calculating taxable income in Germany in the year in which the loss arises? | (b) | Is it relevant whether the natural person made the real estate investment himself or does an infringement arise also where the natural person has become the owner of the real estate located in another Member State by way of inheritance? |
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| (a) | Is it contrary to Article 56 EC for a natural person with unlimited tax liability in Germany to be unable to deduct losses from the letting or leasing of real estate located in another Member State — in contrast to a loss from real estate on national territory — when calculating taxable income in Germany in the year in which the loss arises? | | | | |
| (b) | Is it relevant whether the natural person made the real estate investment himself or does an infringement arise also where the natural person has become the owner of the real estate located in another Member State by way of inheritance? | | | | |

| 2. | Is it contrary to Article 56 EC for a natural person with unlimited tax liability in Germany to be able to apply only the normal method of depreciation in calculating income from the letting or leasing of real estate located in another EU Member State, whilst being able to apply the higher decreasing balance method of depreciation in the case of real estate on national territory? |
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| 3. | If Questions 1 and 2 must be answered in the negative, are the national provisions at issue contrary to the freedom of movement laid down in Article 18 EC? |
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