Austria: goodwill amortization

Alessandro PasutGoodwill amortization: the Administrative Court dealt with the matter not only by stating that the restriction of goodwill amortization to the acquisition of shares in an Austrian corporation contravenes the freedom of establishment but by raising also the question of a possible violation of the prohibition to grant state aids. The Administrative Court made therefore a referral for a preliminary ruling to the Court with a view to establishing whether goodwill amortization could constitute State aid.

State aid has to be reported to the European Commission which will then decide if it is compatible with the internal market. Without approval by the Commission, State aid cannot be granted.

If the Court of Justice of the European Union should qualify the goodwill amortization as State aid, the Austrian state could be faced with an order by the Commission to withdraw this kind of aid.

To receive expert advise by Alessandro Pasut click here!

Share

Tags: , ,

Lascia un Commento

L'indirizzo email non verrà pubblicato. I campi obbligatori sono contrassegnati *

*

È possibile utilizzare questi tag ed attributi XHTML: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>