Judgment_paragraph 67 · European Commission v Federal Republic of Germany (C-591/13)

67By contrast, legislation of a Member State which requires the immediate recovery of the tax due in respect of the unrealised capital gains generated in the context of its fiscal jurisdiction, at the time of the transfer of the place of effective management of a company to a place outside its territory has been held to be disproportionate by reason of the fact that measures existed which were less restrictive of the freedom of establishment than the immediate recovery of that tax. In that regard, the Court has held that it was appropriate to give the taxable person the choice between, on the one hand, immediate payment of that tax, and, on the other hand, deferred payment of that tax, together with, if appropriate, interest in accordance with the applicable national legislation (see, to that effect, judgments in National Grid Indus, C‑371/10, EU:C:2011:785, paragraphs 73 and 85, and DMC, C‑164/12, EU:C:2014:20, paragraph 61 and the case-law cited).