Congregación de Escuelas Pías Provincia Betania: Tax exemption for education services by religious congregation not sacrosanct from state aid perspective

Author (Person)
Series Title
Series Details Vol.26, No.6, December 2017, p292–302
Publication Date December 2017
ISSN 0928-2750
Content Type


On 27 June 2017, the Court of Justice handed down a judgment in another fiscal state aid case concerning a tax exemption granted by Spain to a religious congregation performing educational services (Case C-74/16 Congregación de Escuelas Pías Provincia Betania). The Court of Justice’s judgment is interesting – and relevant for future fiscal state aid cases – for a number of reasons, which are discussed in the present article.

Firstly, the case adds to the growing body of case law regarding the interpretation of the selectivity requirement in tax matters. Secondly and more importantly, the case provides insight into what constitutes an ‘economic activity’ and an ‘undertaking’ for state aid purposes, and specifically deals with the role played by the receipt of remuneration in this respect. Finally, the case may shed light on an issue of growing importance, i.e. the interaction between an instrument of public international law (a treaty) and various aspects of EU state aid law.

Source Link
Related Links
ESO: Judgment in Case C-74/16. Congregación de Escuelas Pías Provincia Betania v Ayuntamiento de Getafe

Subject Categories
Countries / Regions