55In the present case, although the Federal Republic of Germany chose to exercise its powers of taxation in respect of all dividends from ‘free-float’ shares, it also chose, according to the evidence submitted to the Court, to neutralise in full the burden of the withholding tax on those dividends when they are paid to resident companies. In those circumstances, the safeguarding of the balanced allocation between the Member States of the power to tax cannot justify the taxation of companies established in other Member States in respect of that type of income.
Source: EUR-Lex, © European Union, 1998-2026. Reuse authorised under Decision 2011/833/EU.