But at least one Jersey tax specialist has said that the Island should now negotiate with the UK for more concrete exemptions.
The ruling, issued by the court on 12 September but published only on Wednesday, stated that it is contrary to EU law for a community country to levy domestic tax on a parent company on the profits of a subsidiary set up in another community country with a lower rate of taxation.
The case involved Cadbury Schweppes plc, which argued that it should not pay UK tax on the profits of two subsidiaries set up in Dublin to benefit from the city’s favourable fiscal regime.
