German railway attacks jet fuel tax exemption

Deutsche Bahn threatens legal action before European court of justice alleging breach of EU competition law

German state-owned railway Deutsche Bahn has demanded that the EU immediately scrap a jet fuel tax exemption enshrined in the bloc's 1992 mineral oils directive. Claiming the rule violates EU competition law, the firm is threatening to take a legal case to the European court of justice to prove its point.

European Commission spokesperson Gilles Gantelet cautioned that the EU executive could not launch a state aid investigation since the tax exemption was specified explicitly in a directive passed by governments. Furthermore, the clause was in line with global practice, which has exempted jet fuel for international flights from taxation since 1944.

Please sign in to access this article. To subscribe, view our subscription options, or take out a free trial.

Please enter your details

Forgotten password?

Having trouble signing in?

Contact Customer Support at
subs@endseurope.com
or call 020 8267 8120

Not a subscriber?

Take a free trial now to discover the critical insights and updates our coverage offers subscribers.