62006CJ0248_EN
Subject of the case
Operative part
Subject of the case
Re:
Failure of a Member State to fulfil obligations – Infringement of Articles 43 EC, 48 EC and 49 EC and Articles 31 EEA and 36 EEA – Rules for deducting costs for research and development and technological innovation incurred abroad more rigorous than those applicable to costs incurred in Spain.
Operative part
Operative part
The Court:
1. Declares that, by maintaining in force rules for the deduction of costs relating to research and development and technological innovation which are less favourable in respect of costs incurred abroad than costs incurred in Spain – such rules deriving from Article 35 of the Law on corporation tax, as amended by Royal Legislative Decree 4/2004 of 5 March 2004 – the Kingdom of Spain has failed to fulfil its obligations under Articles 43 EC and 49 EC on freedom of establishment and the freedom to provide services, and the corresponding articles in the Agreement on the European Economic Area of 2 May 1992, namely Articles 31 and 36 of that Agreement;
2. Orders the Kingdom of Spain to pay the costs.