Italy Oil Tax Discourages Competition, EC Says

Law360, New York (July 3, 2007, 12:00 AM EDT) -- The European Commission has taken Italy to task over allegedly offering lower tax rates to companies that produce regenerated lubricating oil.

The Commission has ordered Italy to amend the legislation that allows for the lower tax on the grounds that “the Italian rules discriminate against the use of used oil from other member states, thereby infringing Article 90 of the EC treaty,” the EC said.

The EC warned Italy that if the relevant legislation is not amended within two months, the Commission will refer the matter...
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