Abstract
As the growing number of cases before both the European Court of Justice and the European Commission shows, the question whether and to what extent the state aid rules and basic freedoms of services and capital and the freedom of establishment (Arts. 43, 49 and 56 of the EC Treaty) of the EC Treaty apply to non-profit organizations (NPOs) and charities has become increasingly topical. This article attempts to illustrate some central issues of the compatibility of tax incentives for NPOs with the EC Treaty.
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