Tuesday, April 14, 2020
Yvette Lind (Assistant Professor, Copenhagen Business School) presents The Prospect of Designing Aviation Taxes Compatible to EU State Aid Law – Some Comparative Examples online at Florida today as part of its Tax Colloquium Series:
This article focuses on environmental taxes, specifically aviation taxes, and the challenges and limitations EU law imposes on individual EU Member States when these enforce both national and international environmental policy goals. The former Irish and the recently implemented Swedish aviation taxes are used as comparative examples when chartering and discussing what obstacles are posed by specifically EU state aid rules and, subsequently, the options available to individual Member States when attempting to currently design environmental taxes. A holistic approach, resulting in the inclusion of not only tax law but also free movement law and state aid law in parallel legal systems (at domestic, EU, and international levels) is applied in order to provide a more coherent and transparent outline of the studied matter.
The article affords, through a tax technical study combined with environmental and economic theories, a conceptual framework on how an aviation tax may be designed in order to fulfil environmental goals and generate tax revenues while still complying with EU law.