CELEX: C2003/184/37
Language: en
Date: 2003-08-02 00:00:00
Title: Case C-232/03: Action brought on 28 May 2003 by the Commission of the European Communities against the Republic of Finland

2.8.2003              EN                        Official Journal of the European Union                                          C 184/21
Pleas in law and new arguments                                          vehicle registered abroad. They require payment of the car tax
                                                                        chargeable in Finland before the vehicle may be used. Car tax
In general terms, for the provisions of an international treaty         is to be levied on vehicles which are used in traffic in Finland,
to be able to continue to have effect after its natural expiry a        even to a small extent, unless a specific exception is laid down
decision in that behalf must be taken in concertation by the            by law.
signatory States and only by them.
No joint position was adopted by the signatory States of the            Under the Finnish provisions, car tax is to be paid on a vehicle
ECSC Treaty, prior to the expiry thereof, with a view to                before it is used on Finnish territory. If the vehicle is never-
extending its validity in its entirety and to providing for a           theless used without paying tax in cases in which tax should
general transitional regime to ensure the continuance in effect         have been regarded as paid, the authorities levy tax on the
of all its provisions. Instead the signatory States allowed the         vehicle.
ECSC Treaty to be extinguished, merely regulating the transfer
of ECSC provisions to the EC regime in regard to certain
sectors. In particular, no joint provision was made in regard           The Finnish legislation, contrary to Article 39 EC, prevents the
to a transitional regime in competition matters under the ECSC          realisation of freedom of movement of workers, because
Treaty. In the case of investigations under way at the time of          employees living in Finland cannot use a car provided by their
expiry of the ECSC Treaty such expiry could not be claimed to           employer and registered in another Member State for their
be ‘non-retroactive’ since that would entail the continuance in         work in Finland, if tax is not paid on the car in Finland. As
effect of its provisions, no right, obligation or legal situation       a result of the Finnish legislation, employees resident in Finland
arising during the currency of the Treaty itself.                       cannot accept an offer of work from a neighbouring State of
                                                                        the European Union where the use in both countries of a car
From the applicant's point of view, absorption of the ECSC              provided by the employer is part of the work.
rules within the EC rules may occur only by way of an
instrument manifesting the common will in that regard of the
signatory states.                                                       Companies operating in another Member State cannot engage
                                                                        employees living in Finland because they cannot use a car
                                                                        registered in another country in Finland if Finnish tax has not
                                                                        been paid on the car. The practice discriminates in particular
                                                                        against cross-frontier workers living in Finland, who cannot
                                                                        use a car provided by the employer for daily work journeys
                                                                        between the home and the workplace. The use of a car
                                                                        provided by the employer is often a regular part of the
Action brought on 28 May 2003 by the Commission of                      remuneration. A Member State breaches the duty of coopera-
the European Communities against the Republic of                        tion under Article 10 EC if the national measures of the
                             Finland                                    Member State prevent freedom of movement in such a way
                                                                        that workers living in another Member State cannot pursue
                         (Case C-232/03)                                their occupation in the other Member State.
                         (2003/C 184/37)
An action against the Republic of Finland was brought before
the Court of Justice of the European Communities on 28 May
2003 by the Commission of the European Communities,
represented by D. Martin and I. Koskinen, acting as Agents,
with an address for service in Luxembourg.
                                                                        Reference for a preliminary ruling by the Audiencia
The Commission claims that the Court should:                            Nacional by order of that Court of 16 April 2003 in the
                                                                        case of Contse S.A., Vivisol SRL and Oxigen Salud S.A.
1.    Declare that, by preventing cross-frontier workers from                          against INSALUD (now INGESA)
      benefiting from certain benefits provided to them by their
      employers on the sole ground that the workers in ques-
      tion live in the Republic of Finland, into which the                                       (Case C-234/03)
      vehicles owned by their employers have been imported,
      the Republic of Finland has failed to fulfil its obligations
      under Articles 10 EC and 39 EC;                                                            (2003/C 184/38)
2.    Order Finland to pay the costs.
                                                                        Reference has been made to the Court of Justice of the
                                                                        European Communities by order of the Audiencia Nacional
Pleas in law and main arguments                                         (National High Court) of 16 April 2003, received at the Court
                                                                        Registry on 2 June 2003, for a preliminary ruling in the case
Provisions of Finnish legislation limit the possibility for a           of Contse S.A., Vivisol SRL and Oxigen Salud S.A. against
person permanently resident in Finland to use in Finland a              INSALUD (now INGESA) on the following questions: