News

/ News
Tax & Financial Standards New Judgments of the ECJ For June 2019

27.06.2019

Tax & Financial Standards New Judgments of the ECJ For June 2019

С-38/17 of 5 June 2019

Consumer protection — Unfair terms in consumer contracts — Loan agreement denominated in foreign currency — The exchange rate applicable to the sum made available in domestic currency communicated to the consumer after the agreement has been concluded

Key aspects of the decision in the economic range:

Protection of the economic interests of the consumer. A loan agreement denominated in foreign currency, although it specifies the sum corresponding to that set out in the consumer’s application for finance in domestic currency, does not indicate the exchange rate applicable to that sum for the purpose of determining the definitive amount of the loan in foreign currency, but at the same time stipulates, in one of its terms, that that rate will be set by lender in a separate document after the agreement has been concluded.

Proceedings between G, a leasing company, and H as borrower, concerning the invalidity of a loan agreement concluded by the parties, on account on the fact that it did not refer to the exchange rate applied when the funds were advanced.

С-58/18 of 6 June 2019

Consumer protection — Pre-contractual obligations — Obligation on the creditor to offer the most suitable credit — Obligation on the creditor to refrain from concluding an agreement if the assessment of the creditworthiness of the consumer is negative — Obligation on the creditor to decide whether to provide the credit

Key aspects of the decision in the economic range:

Credit agreements for consumers. Assessment of the creditworthiness of the consumer. Pre-contractual obligations on the creditor. Obligation on the creditor to propose the type and the amount of credit most suitable, taking into account the consumer’s financial situation at the time the credit agreement is concluded and the purpose of the credit. Obligation on the creditor to refrain from concluding the agreement where there is reason to take the view that the consumer will not be able to fulfil the obligations arising from the agreement.

Proceedings concerning concluded loan agreement for financing a photovoltaic installation.

С-185/18 of 12 June 2019

Value added tax - Tax on Heritage Transmissions - Principle of fiscal neutrality - Acquisition by a company from individuals of objects with a high gold or other precious metal content for resale

Key aspects of the decision in the economic range:

Taxes, duties and taxes not having the character of turnover taxes. Imposition of an indirect tax on the transmission of assets, separate from VAT, the acquisition by a company from private individuals of objects with a high gold or other precious metal content, where such goods are destined for economic activity of the said enterprise, which, with a view to their transformation and subsequent reintroduction into the commercial circuit, resells them to enterprises.

Proceedings concerning a refusal to deduct the tax on patrimonial transmissions and instrumental legal acts.

С-420/18 of 13 June 2019

Value added tax - Taxable person - Economic activity, carried out "independently" - Activity as a member of the Foundation's Supervisory Board

Key aspects of the decision in the economic range:

Independent economic activity under the VAT Directive. A member of the supervisory board of a foundation which, with regard to its working conditions and remuneration, is in a position of subordination with respect to the supervisory board, but which, for the rest, is not in such a position with respect to the supervisory board or the foundation.

Proceedings concerning the value added tax liability of the person concerned as a member of the supervisory board of a foundation.

С-664/17 of 13 June 2019

Safeguarding of employees’ rights by transfer of an undertakings — Transfer of part of the economic activity of a parent company to a newly created subsidiary — Pursuit of an economic activity — Criterion requiring stability of the pursuit of an economic activity — Recourse to factors of production of third parties — Intention to liquidate the entity

Key aspects of the decision in the economic range:

Safeguarding of employees’ rights. A transfer of a production unit where, first, the transferor, the transferee, or both those persons jointly, act with a view to the transferee pursuing the economic activity engaged in by the transferor, but also with a view to the transferee itself subsequently ceasing to exist, in the context of a liquidation, and second, the unit at issue, lacking the ability to attain its economic object without having recourse to factors of production from third parties, is not totally autonomous.

Proceedings between E and the employees concerned, concerning performance of the contracts of employment initially entered into by those parties.

С-607/17 of 19 June 2019

Corporation tax — Group of companies — Deduction of losses of a non-resident subsidiary — Merger-absorption of the subsidiary by the parent company — Legislation of the State of establishment of the subsidiary granting the deduction of losses in the context of a merger solely to the entity sustaining those losses — Concept of „final losses“

Key aspects of the decision in the economic range:

Freedom of establishment. Deduction of losses of a foreign subsidiary in the State of the parent company in the context of a merger. Risk of losses being used twice and of tax avoidance. Justification of non-deductibility of „final losses”. Proportionality of an absence of cross-border relief for losses. Notion of „final losses“.

Proceedings between a tax board and a company M concerning the possibility for M of deduction from its corporation tax and losses of a subsidiary established in another Member State where that subsidiary has been absorbed by merger.

С-608/17 of 19 June 2019

Corporation tax — Group of companies — Deduction of losses of a non-resident subsidiary — Legislation of the State of establishment of the parent company requiring direct ownership of the subsidiary — Legislation of the State of establishment of the subsidiary of restricting the set-off of losses and prohibiting them from being set off in the year of liquidation — Concept of „final losses“

Key aspects of the decision in the economic range:

Freedom of establishment. Deduction of losses of a foreign subsidiary in the State of the parent company. Justification of the non-deductibility of „final losses”. Proportionality of an absence of cross-border relief for losses. Requirement of direct participation by the parent company for the acceptance of a final loss. Use of losses on the basis of a restriction on loss relief in the State of the sub-subsidiary. Use of losses on the basis of an absence of group relief in the year of liquidation in the State of sub-subsidiary. Concept of „final losses“.

Proceedings between Tax Board and a company H concerning the possibility of the latter deducting from its corporation tax the losses of a sub-subsidiary established in another Member State.

С-1/18 of 20 June 2019

Customs Union - Determination of the customs value of the goods - Medicines - Consideration of any element that may affect the economic value of the medicinal product concerned – 90 day period in which imported goods must be sold in the European Union - Failure to take into account commercial discounts - Notion of ‘similar goods’

Key aspects of the decision in the economic range:

Community Customs Code. Customs value.

Deductive method based on unit price. Reductions on the selling price of imported goods. Determination of the customs value of these goods. Factors to be taken into account.

Data relating to transactions concluded at a time closer to the importation of goods whose customs value must be determined. Data relating to transactions less close in time but actually involving the imported goods.

Notion of ‘similar goods’.

Litigation on a decision requiring a company to pay the Treasury an additional value-added tax, default interest and a fine.

С-100/18 of 20 June 2019

Insurance against civil liability in respect of the use of motor vehicles - Damage to property as a result of a fire in a vehicle parked in the private garage of the property — Compulsory insurance cover - Concept of ‘vehicle’ and ‘use of vehicles’

Key aspects of the decision in the economic range:

Motor vehicle insurance cover for damage caused to a private dwelling by a fire in a vehicle parked in its garage. Damage caused by a fire in a stationary vehicle when the fire has its origin in the mechanisms necessary to performing the transport function of the vehicle.

Concept of ‘vehicle’ and ‘use of vehicles’.

Proceedings concerning the reimbursement of the compensation which S paid to the victim of a fire originating in the electrical circuit of a car insured by L.

С-291/18 of 20 June 2019

Value added tax — Condition relating to navigation on the high seas — Exemptions, related to international transport — Supply of offshore jackup drilling rigs — Concepts of „vessels used for navigation on the high seas“ and „sea navigation“

Key aspects of the decision in the economic range:

Common system of value added tax. Exemption of exports and like transactions and international transport.

Concepts of „vessels used for navigation on the high seas“ and „sea navigation“

Proceedings between a company S and tax administration concerning the refusal to exempt from VAT the supply of three offshore jackup drilling rigs.

С-404/18 of 20 June 2019

Equal treatment of men and women — Access to employment and working conditions —Protection against retaliatory measures — Rejection of a candidate due to her pregnancy —Dismissal of the employee

Key aspects of the decision in the economic range:

Social policy. Protection against retaliatory measures. Rejection of a candidate due to her pregnancy. Employee intervening in favour of that candidate.

Implementation of the principle of equal opportunities and equal treatment of men and women in matters of employment and occupation.

Measures necessary to protect employees, including those who are employees’ representatives against dismissal or other adverse treatment by the employer as a reaction to a complaint within the undertaking or to any legal proceedings aimed at enforcing compliance with the principle of equal treatment.

Proceedings concerning the award of compensation as a result of dismissal.

 


EuroCases

340VAT excl.

for account per year

For full pricelist see here

Buy now Free trial
TAX & FINANCIAL STANDARDS

240VAT excl.

for account per year

For full pricelist see here 

Buy now Free trial