Case C-558/19: Judgment of the Court (Sixth Chamber) of 8 October 2020 (request for a preliminary ruling from the Tribunalul Cluj — Romania) — Impresa Pizzarotti & C SPA Italia Sucursala Cluj v Agenţia Naţională de Administrare Fiscală — Direcţia Generală de Administrare a Marilor Contribuabili (Reference for a preliminary ruling — Articles 49 and 63 TFEU — Freedom of establishment — Free movement of capital — Calculation of the taxable income of companies — Persons having a relationship of interdependence — Unusual advantage granted by a resident branch to a non-resident company — Correction of the taxable income of the branch of a non-resident company — No correction of taxable income in the event of an identical advantage granted by a branch to a resident company — Principle of free competition — Restriction on freedom of establishment — Justification — Balanced allocation of the power to tax between Member States — Proportionality)
Date: 2020-10-08
Institutions: Court of Justice
Subjects: branch, electronic money, financial transaction, nationality of legal persons, parent company, revenue, right of establishment, transfer pricing








C_2020414EN.01001101.xml










30.11.2020   


EN


Official Journal of the European Union


C 414/11






Judgment of the Court (Sixth Chamber) of 8 October 2020 (request for a preliminary ruling from the Tribunalul Cluj — Romania) — Impresa Pizzarotti & C SPA Italia Sucursala Cluj v Agenţia Naţională de Administrare Fiscală — Direcţia Generală de Administrare a Marilor Contribuabili
(Case C-558/19) (1)

(Reference for a preliminary ruling - Articles 49 and 63 TFEU - Freedom of establishment - Free movement of capital - Calculation of the taxable income of companies - Persons having a relationship of interdependence - Unusual advantage granted by a resident branch to a non-resident company - Correction of the taxable income of the branch of a non-resident company - No correction of taxable income in the event of an identical advantage granted by a branch to a resident company - Principle of free competition - Restriction on freedom of establishment - Justification - Balanced allocation of the power to tax between Member States - Proportionality)
(2020/C 414/13)
Language of the case: Romanian

Referring court

Tribunalul Cluj

Parties to the main proceedings


Applicant: Impresa Pizzarotti & C SPA Italia Sucursala Cluj

Defendant: Agenţia Naţională de Administrare Fiscală — Direcţia Generală de Administrare a Marilor Contribuabili

Operative part of the judgment

Article 49 TFEU must be interpreted as not precluding, in principle, legislation of a Member State under which a transfer of money from a resident branch to its parent company established in another Member State may be reclassified as a ‘revenue-generating transaction’, with the consequent obligation to apply the rules on transfer pricing, whereas, if the same transaction had been effected between a company branch and a parent company, both of which were established in the same Member State, that transaction would not have been classified in the same way and the rules on transfer pricing would not have been applied.


(1)  OJ C 372, 4.11.2019.