Keywords

Summary



Keywords

1 . ACTION FOR FAILURE OF A STATE TO FULFIL ITS OBLIGATIONS UNDER THE TREATY - STAGE PRECEDING COMMENCEMENT OF PROCEEDINGS - REASONED OPINION - EFFECT RESTRICTED TO COMMENCEMENT OF PROCEEDINGS BEFORE COURT - EXEMPTION OF MEMBER STATE FROM COMPLIANCE WITH ITS OBLIGATIONS - NOT PERMISSIBLE

( EEC TREATY , ART . 169 )

2 . TAX PROVISIONS - INTERNAL TAXATION - SYSTEM OF DIFFERENTIAL TAXATION OF A DISCRIMINATORY NATURE - GRANT OF TAX ADVANTAGES SUBJECT TO CONDITIONS WHICH CAN BE SATISFIED ONLY BY DOMESTIC PRODUCTS - PROHIBITION

( EEC TREATY , ART . 95 )

3 . TAX PROVISIONS - INTERNAL TAXATION - RULE AGAINST DISCRIMINATION - DIRECT EFFECT - DATE ON WHICH RULE TOOK EFFECT

( EEC TREATY , ART . 95 )

4 . AIDS GRANTED BY MEMBER STATES - AID IN FORM OF TAX DISCRIMINATION - AUTHORIZATION - NOT PERMISSIBLE

( EEC TREATY , ARTS 92 , 93 AND 95 )

5 . COMMUNITY LAW - DIRECT EFFECT - NATIONAL TAXES INCOMPATIBLE WITH COMMUNITY LAW - REFUND - DETAILED RULES - APPLICATION OF NATIONAL LAW - TAKING INTO ACCOUNT OF ANY PASSING-ON OF TAX - WHETHER PERMISSIBLE

Summary

1 . OPINIONS DELIVERED BY THE COMMISSION PURSUANT TO ARTICLE 169 OF THE EEC TREATY HAVE LEGAL EFFECT ONLY IN RELATION TO THE COMMENCEMENT OF PROCEEDINGS BEFORE THE COURT AGAINST A STATE ALLEGED TO HAVE FAILED TO FULFIL ITS OBLIGATIONS UNDER THE TREATY . THE COMMISSION MAY NOT , IN THE ATTITUDE WHICH IT ADOPTS AND IN THE OPINIONS WHICH IT IS OBLIGED TO DELIVER UNDER ARTICLE 169 , EXEMPT A MEMBER STATE FROM COMPLIANCE WITH ITS OBLIGATIONS UNDER THE TREATY OR PREVENT INDIVIDUALS FROM RELYING , IN LEGAL PROCEEDINGS , ON THE RIGHTS CONFERRED UPON THEM BY THE TREATY IN ORDER TO CONTEST ANY LEGISLATIVE OR ADMINISTRATIVE MEASURES OF A MEMBER STATE WHICH MAY BE INCOMPATIBLE WITH COMMUNITY LAW .

2 . A SYSTEM OF DIFFERENTIAL TAXATION WHEREBY THE GRANT OF A TAX EXEMPTION OR THE ENJOYMENT OF A REDUCED RATE OF TAXATION IS CONDITIONAL UPON THE POSSIBILITY OF INSPECTING PRODUCTION ON NATIONAL TERRITORY IS DISCRIMINATORY IN NATURE AND AS SUCH COMES WITHIN THE PROHIBITION LAID DOWN BY ARTICLE 95 . THE EFFECT OF SUCH A CONDITION WHICH BY DEFINITION CANNOT BE SATISFIED BY SIMILAR PRODUCTS FROM OTHER MEMBER STATES IS TO PRECLUDE THOSE PRODUCTS IN ADVANCE FROM QUALIFYING FOR THE TAX ADVANTAGE IN QUESTION AND TO CONFINE THAT ADVANTAGE TO DOMESTIC PRODUCTION .

3 . UNDER THE THIRD PARAGRAPH OF ARTICLE 95 OF THE EEC TREATY , THE RULE AGAINST DISCRIMINATION SET OUT IN THE FIRST TWO PARAGRAPHS OF THAT ARTICLE BECAME FULLY EFFECTIVE AS FROM 1 JANUARY 1962 . AFTER THAT DATE , A MEMBER STATE COULD NO LONGER BE AUTHORIZED TO MAINTAIN IN ITS TAX LAW OR FISCAL PRACTICES ANY PRE-EXISTING DISCRIMINATION IN THE SYSTEM APPLICABLE TO THE IMPORTATION OF PRODUCTS ORIGINATING IN OTHER MEMBER STATES .

4 . UNDER THE SYSTEM OF THE EEC TREATY AN AID , WITHIN THE MEANING OF ARTICLES 92 AND 93 , CANNOT BE INTRODUCED OR AUTHORIZED BY A MEMBER STATE IN THE FORM OF FISCAL DISCRIMINATION AGAINST PRODUCTS ORIGINATING IN OTHER MEMBER STATES .

5 . THE PROTECTION OF RIGHTS GUARANTEED BY THE COMMUNITY LEGAL ORDER DOES NOT REQUIRE AN ORDER FOR THE RECOVERY OF TAXES UNDULY LEVIED TO BE GRANTED IN CONDITIONS WHICH WOULD INVOLVE AN UNJUST ENRICHMENT OF THOSE ENTITLED . THERE IS NOTHING , FROM THE POINT OF VIEW OF COMMUNITY LAW , TO PREVENT NATIONAL COURTS FROM TAKING ACCOUNT IN ACCORDANCE WITH THEIR NATIONAL LAW OF THE FACT THAT IT HAS BEEN POSSIBLE FOR TAXES UNDULY LEVIED TO BE INCORPORATED IN THE PRICES OF THE UNDERTAKING LIABLE FOR THE TAX AND TO BE PASSED ON TO THE PURCHASERS .