The Austrian Supreme Administrative Court has requested the Court of Justice of the European Union (CJEU) to declare whether the goodwill amortization on share deals in sec 9 para 7 Austrian Corporate Income Tax Act (CITA) constitutes state aid and also whether the restriction of the goodwill amortization to the acquisition of Austrian target companies amounts to an infringement of the freedom of establishment. While the first question regarding the compatibility with state aid law was rejected as inadmissible, the CJEU ruled that sec 9 para 7 Austrian CITA violates the freedom of establishment. Lukas Mechtler and Erik Pinetz give an overview of the decision of the CJEU and analyze some related legal issues. In this context, they focus on the interaction with sec 10 para 3 CITA and assess the consequences for the grandfathering rule set forth in sec 26c no 47 CITA.