Keywords
Summary

Keywords

Freedom of movement for persons — Workers — Equal treatment — Remuneration — Income tax — National rules on the avoidance of double taxation excluding taxpayers from entitlement to a tax concession because they have received income in another Member State which was taxed in that State without taking into account their personal and family circumstances — Not permissible — Conditions governing the taking into account of such circumstances — Requirements of Community law — None — Limits — (EC Treaty, Art. 48 (now, after amendment, Art. 39 EC))

Summary

Article 48 of the Treaty (now, after amendment, Article 39 EC) precludes national rules ─ irrespective of whether or not they are laid down in a convention for the avoidance of double taxation ─ whereby a taxpayer forfeits, in the calculation of the income tax payable by him in his State of residence, part of the tax-free amount of that income and of his personal tax advantages because, during the year in question, he also received income in another Member State which was taxed in that State without his personal and family circumstances being taken into account.

Moreover, Community law contains no specific requirement with regard to the way in which the State of residence must take into account the personal and family circumstances of a worker who, during a particular tax year, received income in that State and in another Member State, except that the conditions governing the way in which the State of residence takes those circumstances into account must not constitute discrimination, either direct or indirect, on grounds of nationality, or an obstacle to the exercise of a fundamental freedom guaranteed by the Treaty.

see paras 110, 115, operative part 1-2