CELEX: C2006/261/01
Language: en
Date: 2006-10-28 00:00:00
Title: Case C-88/03: Judgment of the Court (Grand Chamber) of 6 September 2006 — Portuguese Republic v Commission of the European Communities (Action for annulment — State aid — Decision 2003/442/EC — Tax measures adopted by a regional or local authority — Reductions on the rate of income tax for natural and legal persons having their tax residence in the Azores — Classification as State aid — Selective nature — Justification by the nature and overall structure of the tax system — Obligation to state reasons — Compatibility with the common market)

28.10.2006   
            
            
               EN
            
            
               Official Journal of the European Union
            
            
               C 261/1
            
         Judgment of the Court (Grand Chamber) of 6 September 2006 — Portuguese Republic v Commission of the European Communities
   (Case C-88/03) (1)
   
   (Action for annulment - State aid - Decision 2003/442/EC - Tax measures adopted by a regional or local authority - Reductions on the rate of income tax for natural and legal persons having their tax residence in the Azores - Classification as State aid - Selective nature - Justification by the nature and overall structure of the tax system - Obligation to state reasons - Compatibility with the common market)
   (2006/C 261/01)
   Language of the case: Portuguese
   Parties
   
      Applicant: Portuguese Republic (represented by: L. Fernandes, Agent, and J. da Cruz Vilaça and L. Romão, advogados)
   
      Defendant: Commission of the European Communities (represented by: V. Di Bucci and F. de Sousa Fialho, Agents)
   
      Interveners in support of the applicant: Kingdom of Spain (Agent: N. Díaz Abad), United Kingdom of Great Britain and Northern Ireland (R. Caudwell, Agent, and D. Anderson QC)
   
   Re:
   Annulment of Commission Decision C(2002) 4487 final in so far as it considers State aid incompatible with the common market the reduction of the rate of income tax for natural and legal persons having their tax residence on the Azores and pursuing certain financial activities (Section J, codes 65, 66 and 67 and Section K, code 74, of the Statistical Classification of Economic Activities in the European Community — NACE REV1.1)
   Operative part of the judgment
   The Court:
   
               1.
            
            
               Dismisses the action;
            
         
               2.
            
            
               Orders the Portuguese Republic to pay the costs;
            
         
               3.
            
            
               Orders the United Kingdom of Great Britain and Northern Ireland and the Kingdom of Spain to bear their own costs.
            
         
      (1)  OJ C 112, 10.5.2003.