Language of document :

Judgment of the Court (Third Chamber) of 18 December 2007 (reference for a preliminary ruling from the Bundesfinanzhof (Germany)) - Hans-Dieter Jundt, Hedwig Jundt v Finanzamt Offenburg

(Case C-281/06) 1

(Freedom to provide services - Secondary teaching activity - Concept of 'remuneration' - Allowances for professional expenses - Legislation concerning tax exemption - Conditions - Remuneration paid by a national university)

Language of the case: German

Referring court

Bundesfinanzhof

Parties to the main proceedings

Applicants: Hans-Dieter Jundt, Hedwig Jundt

Defendant: Finanzamt Offenburg

Re:

Reference for a preliminary ruling - Bundesfinanzhof - Interpretation of Articles 49 EC and 149 EC - Teaching activity carried on as a secondary professional activity for a public-law legal person (a university) for remuneration which may be regarded as an expense allowance - National legislation restricting the tax exemption laid down for such remuneration to that paid by public-law legal persons established in the Member State

Operative part of the judgment

A teaching activity carried out by a taxpayer of one Member State for a legal person established under public law, in the present case a university, situated in another Member State comes within the scope of Article 49 EC, even if it is carried out on a secondary basis and in a quasi-honorary capacity.

The restriction on the freedom to provide services constituted by the fact that national legislation confines the application of an exemption from income tax to remuneration paid by universities, that is to say, public-law legal persons, established on national territory, in return for teaching activities carried out on a secondary basis, and refuses to apply that exemption where that remuneration is paid by a university established in another Member State, is not justified by overriding reasons relating to the public interest.

The fact that the Member States are themselves competent to organise their respective education systems is not such as to render compatible with Community law national legislation which confines the benefit of a tax exemption to taxpayers carrying out activities for or on behalf of national public universities.

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1 - OJ C 224, 16.09.2006.