Judgment of the Court of Justice in Case C-101/05. Skatteverket v A

The Court of Justice clarifies the application of the principle of free movement of capital in relations between Member States and third countries. Where a Member State makes a tax advantage conditional upon satisfying conditions, compliance with which can be verified only by obtaining information from a third country, it is, in principle, legitimate for that Member State to refuse to grant that advantage if it proves impossible to obtain such information from that country.