Judgment_paragraph 77 · National Grid Indus BV v Inspecteur van de Belastingdienst Rijnmond/kantoor Rotterdam (C-371/10)

77It should be recalled, to begin with, that the tracing of assets relates only to the recovery of the tax debt, not to its ascertainment. As may be seen from paragraph 64 above, Article 49 TFEU does not preclude legislation of a Member State, such as that at issue in the main proceedings, under which the amount of tax due on capital gains relating to the assets of a company which ceases to obtain profits taxable in that Member State because of the transfer of its place of effective management to another Member State is fixed definitively at the time of that transfer. In so far as a company which opts for deferred payment of the tax necessarily considers that tracing the assets in respect of which a capital gain has been ascertained at the time of the transfer of the place of management will not cause it an excessive administrative burden, the burden to be borne by the tax authorities of the Member State of origin in connection with checking the declarations relating to such tracing cannot be regarded as excessive either.

National Grid Indus BV v Inspecteur van de Belastingdienst Rijnmond/kantoor Rotterdam (C-371/10)

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