Ufficio distrettuale delle imposte dirette di Fiorenzuola d'Arda e.a v Comune di Carpaneto Piacentino and Others [1989] EUECJ C-231/87 (17 October 1989)

Ufficio distrettuale delle imposte dirette di Fiorenzuola d'Arda e.a v Comune di Carpaneto Piacentino and Others [1989] EUECJ C-231/87 (17 October 1989)

Municipal tax exemptions that confer selective advantages to certain entities may constitute state aid under Article 92 of the EEC Treaty if they distort competition and affect trade between Member States.

Source-derived case information.

Citation
[1989] EUECJ C-231/87
Parties
Applicant: Ufficio distrettuale delle imposte dirette di Fiorenzuola d'Arda; Respondent: Comune di Carpaneto Piacentino and Others
Jurisdiction
European Union
Procedural Posture
Preliminary Ruling / Final Judgment
Outcome
Referred questions answered; municipal tax exemptions may constitute state aid if they confer selective advantages.
Legal Topics
State Aid, Direct Taxation, Municipal Tax Exemptions
European Union Law Tax Law State Aid Direct Taxation Municipal Tax Exemptions

Source-derived case record

Summary, issues, holding and outcome

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Parties

Ufficio distrettuale delle imposte dirette di Fiorenzuola d'Arda

Applicant

Comune di Carpaneto Piacentino and Others

Respondent

Procedural Posture

Preliminary Ruling / Final Judgment

  1. 1 Whether municipal tax exemptions constitute state aid under Article 92 of the EEC Treaty
  2. 2 Compatibility of national tax exemptions with EU law

Ratio Decidendi

Municipal tax exemptions that confer selective advantages to certain entities may constitute state aid under Article 92 of the EEC Treaty if they distort competition and affect trade between Member States.

Court Disposition

Referred questions answered; municipal tax exemptions may constitute state aid if they confer selective advantages.

Orders

  • National courts must assess whether the exemptions in question confer selective advantages and thus constitute state aid under Article 92 of the EEC Treaty.
  • If so, such exemptions must be notified to the Commission and may be declared incompatible with the common market.