EU threatens sanctions over US tax breaks

The European Union is threatening to reimpose trade sanctions on the United States unless Congress abolishes a tax break for US exporters ruled illegal by the World Trade Organisation.

European Commission: Press Release: IP/06/158: WTO condemns US tax subsidies; EU calls on US to end illegal tax breaks for Boeing, others (13.2.06) http://europa.eu/rapid/pressReleasesAction.do?reference=IP/06/158&format=HTML&aged=0&language=EN&guiLanguage=en

European Commission: Memo: MEMO/06/72: Foreign Sales Corporation : FAQs (13.2.06) http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/06/72&format=HTML&aged=0&language=EN&guiLanguage=en

WTO: Trade Topics: Dispute Settlement: The Cases: Case DS108, United States - Tax Treatment for 'Foreign Sales Corporations' http://www.wto.org/english/tratop_e/dispu_e/cases_e/ds108_e.htm

BBC News, 13.2.06: WTO upholds US export tax ruling http://news.bbc.co.uk/1/hi/business/4709814.stm

United States Mission to the European Union: Press Release, 13.2.06: US urges EU not to reimpose duties after WTO tax break ruling http://www.useu.be/Article.asp?ID=35013025-19C1-44F1-8B90-CCA2BE4E422D

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