CJEU – Recent Developments in Direct Taxation 2016

1. S. 70Radgen

The recent decision by the Court of Justice of the European Union (Sixth Chamber) in Radgen concerns the implications for income taxation of the Agreement between the European Community and its Member States, of the one part, and the Swiss Confederation, of the other, on the free movement of persons (hereinafter referred to as “the Agreement”). It follows a reference for a preliminary ruling under Article 267 TFEU from the Finanzgericht Baden-Württemberg (Finance Court, Baden-Württemberg, Germany). In the eyes of the Court, it – somewhat surprisingly – did not raise new points of law and a decision was accordingly rendered without any Opinion from the Advocate General.

In the case, the Radgens were German nationals living in Germany. They were subject to unlimited income tax liability in Germany and jointly assessed for income tax purposes. In 2009, the husband had a part-time lecturing appointment at an establishment governed by public law in Switzerland. The appointment was governed by an employment contract. In order to give his lectures, Mr. Radgen travelled to Zurich and then returned to Germany. For this work, he received 4,095 Swiss francs (CHF) (approximately EUR 2,...