Exclusion of posted workers from certain tax benefits: Reflections on the CJEU decision in case C-387/22

Abstract

In Case C-387/22, Nord Vest Pro, the CJEU demonstrated a certain restraint in ruling on the issue of applying tax benefits exclusively to workers who carry out their activity on national territory, excluding those posted to other Member States. The referring court questioned the compatibility of this provision with the freedom to provide services and inquired whether such regulation might discourage companies from posting workers abroad. The CJEU essentially considered such an obstacle to the freedom to provide services as acceptable, insofar as it is justified by legitimate objectives of general interest and respects the principle of proportionality.