This document is an excerpt from the EUR-Lex website
Document 62015CO0194
Order of the Court (Sixth Chamber) of 4 February 2016.
Véronique Baudinet and Others v Agenzia delle Entrate - Direzione Provinciale I di Torino.
Reference for a preliminary ruling — Articles 63 TFEU and 65 TFEU — Free movement of capital — Article 49 TFEU — Freedom of establishment — Direct taxation — Imposition of dividends — Bilateral agreement on double taxation — Judicial double taxation.
Case C-194/15.
Order of the Court (Sixth Chamber) of 4 February 2016.
Véronique Baudinet and Others v Agenzia delle Entrate - Direzione Provinciale I di Torino.
Reference for a preliminary ruling — Articles 63 TFEU and 65 TFEU — Free movement of capital — Article 49 TFEU — Freedom of establishment — Direct taxation — Imposition of dividends — Bilateral agreement on double taxation — Judicial double taxation.
Case C-194/15.
Court reports – general – 'Information on unpublished decisions' section
Order of the Court (Sixth Chamber) of 4 February 2016 — Baudinet and Others
(Case C‑194/15) ( 1 )
‛Reference for a preliminary ruling — Articles 63 TFEU and 65 TFEU — Free movement of capital — Article 49 TFEU — Freedom of establishment — Direct taxation — Imposition of dividends — Bilateral agreement on double taxation — Judicial double taxation’
|
1. |
Freedom of establishment — Free movement of capital — Provisions of the Treaty — Scope — Tax credit — National legislation limiting that credit tax for dividends paid to resident tax payers by a company established in another Member State — National legislation applicable irrespective of the size of the shareholding held in that company — Applicability of the provisions of the Treaty governing the freedom of establishment and the free movement of capital (Arts 49 TFEU and 63 TFEU) (see paras 25-28) |
|
2. |
Freedom of establishment — Free movement of capital — Restrictions — Tax legislation — Taxation of dividends — Dividends paid to resident taxpayers by a company established in another Member State — Judicial double taxation — Tax credit — National legislation laying down a limit on the taxation of that credit tax for such dividends — No distinction between dividends paid by a resident company and those paid by a company established in another Member State — Tax disadvantage resulting from the parallel exercise, by the Member State at the source of those dividends and the Member State of residence, of their fiscal sovereignty — Admissibility (Arts 49 TFEU, 63 TFEU and 65 TFEU) (see paras 35, 37, operative part) |
Operative part
Articles 49 TFEU, 63 TFEU and 65 TFEU must be interpreted as not precluding legislation of a Member State, such as the legislation at issue in the main proceedings, under which, when a resident of that Member State, a shareholder in a company established in another Member State, receives from that company dividends taxed in both States, that double taxation is not remedied by the grant in the shareholder’s State of residence of a tax credit at least equal to the amount of tax paid in the State of the source of those dividends.
( 1 ) OJ C 245, 27.7.2015.