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Case C-487/08: Judgment of the Court (First Chamber) of 3 June 2010 — European Commission v Kingdom of Spain (Failure of a Member State to fulfil obligations — Free movement of capital — Articles 56 EC and 40 of the EEA Agreement — Difference in treatment — Dividends distributed to resident and non-resident companies)

ECLI:EU:UNKNOWN:62008CA0487

62008CA0487

June 3, 2010
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31.7.2010

Official Journal of the European Union

C 209/6

(Case C-487/08) (<span class="super">1</span>)

(Failure of a Member State to fulfil obligations - Free movement of capital - Articles 56 EC and 40 of the EEA Agreement - Difference in treatment - Dividends distributed to resident and non-resident companies)

2010/C 209/08

Language of the case: Spanish

Parties

Applicant: European Commission (represented by: R. Lyal and I. Martinez del Peral, Agents)

Defendant: Kingdom of Spain (represented by: N. Díaz Abad, Agent)

Re:

Failure of a Member State to fulfil obligations — Infringement of Articles 56 EC and 40 EEA — Different treatment given to dividends distributed to domestic and foreign shareholders

Operative part of the judgment

The Court:

1.Declares that, by making the exemption of dividends distributed by companies resident in Spain subject to a level of holding by the recipient companies in the distributing companies which is higher for recipient companies residing in another Member State than for recipient companies resident in Spain, the Kingdom of Spain has failed to fulfil its obligations under Article 56(1) EC.

2.Dismisses the action as to the remainder.

3.Orders the European Commission and the Kingdom of Spain to bear their own costs.

(<span class="super">1</span>) OJ C 19, 24.1.2009.

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