CELEX: C2000/034/09
Language: en
Date: 2000-02-05 00:00:00
Title: Judgment of the Court (Sixth Chamber) of 28 October 1999 in Case C-55/98 (reference for a preliminary ruling from the Højesteret): Skatteministeriet v Bent Vestergaard (Freedom to provide services — Income tax — Taxable income — Deduction of expenses for professional training courses — Distinction according to the location of the courses)

5.2.2000                EN                        Official Journal of the European Communities                                              C 34/5
Stuttgart (Higher Regional Court, Stuttgart), Germany, for a                                   JUDGMENT OF THE COURT
preliminary ruling in the proceedings pending before that court
between Arbeitsgemeinschaft Deutscher Rundfunkanstalten
(ARD) and PRO Sieben Media AG, supported by SAT 1                                                      (Sixth Chamber)
Satellitenfernsehen GmbH, Kabel 1, K 1 Fernsehen GmbH —
on the interpretation of Article 11(3) of Council Directive
89/552/EEC of 3 October 1989 on the coordination of certain                                          of 28 October 1999
provisions laid down by law, regulation or administrative
action in Member States concerning the pursuit of television
broadcasting activities (OJ 1989 L 298, p. 23), as amended by
Directive 97/36/EC of the European Parliament and of the                     in Case C-55/98 (reference for a preliminary ruling from
Council of 30 June 1997 (OJ 1997 L 202, p. 60) — the Court                     the Højesteret): Skatteministeriet v Bent Vestergaard (1)
(Sixth Chamber), composed of: R. Schintgen, President of the
Second Chamber, acting as President of the Sixth Chamber,
P.J.G. Kapteyn (Rapporteur) and H. Ragnemalm, Judges;                        (Freedom to provide services — Income tax — Taxable
F.G. Jacobs, Advocate General; H. von Holstein, Deputy Regis-                income — Deduction of expenses for professional training
trar, for the Registrar, has given a judgment on 28 October                  courses — Distinction according to the location of the
1999, in which it has ruled:                                                                                courses)
1. Article 11(3) of Council Directive 89/552/EEC of 3 October                                           (2000/C 34/09)
     1989 on the coordination of certain provisions laid down by
     law, regulation or administrative action in Member States
     concerning the pursuit of television broadcasting activities, as
     amended by Directive 97/36/EC of the European Parliament                                    (Language of the case: Danish)
     and of the Council of 30 June 1997, is to be construed as
     prescribing the gross principle, so that, in order to calculate the
     45-minute period for the purpose of determining the number of
     advertising interruptions allowed in the broadcasting of audiovis-
                                                                             (Provisional translation; the definitive translation will be published
     ual works such as feature films and films made for television, the
                                                                                                 in the European Court Reports)
     duration of the advertisements must be included in that period.
2. Article 11(3), in conjunction with Article 3(1), of Directive             In Case C-55/98: reference to the Court under Article 177 of
     89/552, as amended, authorises Member States to prescribe, for          the EC Treaty (now Article 234 EC) from the Højesteret
     television broadcasters under their jurisdiction, the net principle     (Supreme Court) (Denmark) for a preliminary ruling in the
     for advertisements which may be inserted during programmes,             proceedings pending before that court between Skatteministe-
     and thus to provide that, in order to calculate that period, the        riet and Bent Vestergaard — on the interpretation of Articles 6
     duration of the advertisements must be excluded, on condition,          and 59 of the EC Treaty (now, after amendment, Articles 12
     however, that those rules are compatible with other relevant            EC and 49 EC) — the Court (Sixth Chamber), composed of:
     provisions of Community law.                                            R. Schintgen (Rapporteur), President of the Second Chamber,
                                                                             acting as President of the Sixth Chamber, P.J.G. Kapteyn
                                                                             and G. Hirsch, Judges; A. Saggio, Advocate General; H. von
     Article 5 of the EC Treaty (now Article 10 EC), Articles 6 and          Holstein, Deputy Registrar, for the Registrar, has given a
     30 of the EC Treaty (now, after amendment, Articles 12 EC and           judgment on 28 October 1999, in which it has ruled:
     28 EC), Article 85 of the EC Treaty (now Article 81 EC) and
     the general principle of equal treatment do not apply to national
     rules which prescribe the application of the net principle for          Article 59 of the EC Treaty (now, after amendment, Article 49 EC)
     television broadcasters under their jurisdiction.                       precludes a Member State from having rules which, for the purposes
                                                                             of determining taxable income, presume that professional training
                                                                             courses held in ordinary tourist resorts located in other Member States
     Article 59 of the EC Treaty (now, after amendment, Article 49           involve such a significant tourism element that the costs of taking
     EC) does not preclude a Member State from prescribing, under            part in those courses cannot be treated as deductible operating costs,
     Article 3(1) of Directive 89/552, the application of the net            while such a presumption does not exist in the case of professional
     principle.                                                              training courses held in ordinary tourist resorts located within the
                                                                             territory of that Member State.
(1) OJ C 72 of 7.3.1998.
                                                                             (1) OJ C 137 of 2.5.1998.