Portugal’s Lottery Tax Favouritism Draws EU Attention

Portugal’s decision to continue taxing some, but not all, foreign lottery winnings is set to bring with it ECJ scrutiny after the European Commission concluded that tax reforms passed last year were insufficient to ensure compliance with EU law.The Commission has referred its infringement investigations into Portugal’s lottery tax regime on to the European Court of Justice for the ECJ to again decide whether EU law requires winnings from lottery games in other member states to be tax-free when the same tax rules apply to domestic lottery prizes.

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