Referral of Greece to the EU Court for non-recognition of tax losses

Europe refers Greece to the Court of Justice of the European Union because of its differentiated context in tax treatment of business losses in Greece and abroad. In particular, the framework defines the differentiation in tax treatment in terms of tax recognition of taxable residents. in Greece whose businesses are established exclusively in Greece and of taxable residents of Greece whose at least part of the business is established in other EU countries. EU state are subject to taxation in Greece, the losses are limited if they are abroad. It is noted that the loss of the previous year is offset as a priority over the loss of the following year. The losses resulting from doing business abroad through a permanent establishment (branch) can not be used to calculate the profits of the same tax year, nor to be offset against future profits. This different tax treatment is contrary, as highlighted in the document sent Article 49 (1) TFEU and Article 31 (1) of the EEA Agreement and constitutes a restriction of the right of establishment. It is noted that the procedure for the relevant infringements started in 2018 when a warning letter was sent, while in 2019 followed by a reasoned opinion asking the Greek government to comply with EU decisions. Follow it on Google News and be the first to know all the news See all the latest news from Greece and the world, at

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