Keywords
Summary

Keywords

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TAX PROVISIONS - INTERNAL TAXATION - PROVISIONS OF THE TREATY - AIM - PROHIBITION OF DISCRIMINATION BETWEEN IMPORTED PRODUCTS AND SIMILAR OR COMPETING DOMESTIC PRODUCTS - SIMILAR OR COMPETING PRODUCTS - ASSESSMENT CRITERIA

( EEC TREATY, ART . 95 )

Summary

ARTICLE 95 OF THE TREATY AS A WHOLE AIMS TO ENSURE FREE MOVEMENT OF GOODS BETWEEN THE MEMBER STATES IN NORMAL CONDITIONS OF COMPETITION BY THE ELIMINATION OF ALL FORMS OF PROTECTION WHICH RESULT FROM THE APPLICATION OF INTERNAL TAXATION WHICH DISCRIMINATES AGAINST PRODUCTS FROM OTHER MEMBER STATES, AND TO GUARANTEE THE COMPLETE NEUTRALITY OF INTERNAL TAXATION AS REGARDS COMPETITION BETWEEN DOMESTIC PRODUCTS AND IMPORTED PRODUCTS .

IN ORDER TO ASSESS SIMILARITY BETWEEN DOMESTIC PRODUCTS AND IMPORTED PRODUCTS FOR THE PURPOSES OF THE PROHIBITION SET OUT IN THE FIRST PARAGRAPH OF ARTICLE 95, IT MUST BE CONSIDERED WHETHER THE PRODUCTS IN QUESTION HAVE SIMILAR CHARACTERISTICS AND MEET THE SAME CONSUMER NEEDS . IF THOSE CONDITIONS ARE NOT FULFILLED, THE SECOND PARAGRAPH OF ARTICLE 95 MAY APPLY . THE FUNCTION OF THAT PROVISION IS TO COVER ALL FORMS OF INDIRECT TAX PROTECTION IN THE CASE OF PRODUCTS WHICH, WITHOUT BEING SIMILAR WITHIN THE MEANING OF THE FIRST PARAGRAPH OF ARTICLE 95, ARE NEVERTHELESS IN COMPETITION, EVEN PARTIAL, INDIRECT OR POTENTIAL COMPETITION, WITH EACH OTHER .