L7: Internal Market Flashcards
what are the 3 market condition?
there cannot be any internal customs duties, no financial charges that can hinder free flow of goods, and no quantitative restrictions on the import or export of goods. (
what are Charges & Duties with Equivalent Effect and when can this be applied?
=CEE’s
This is a pecuniary charge, which is imposed on domestic or foreign goods since they have to cross a border. There are various charges that can be given, which are charges that are imposed on imported goods or only on exported goods, or charges on both domestic and imported goods.
exceptions are charges on a service by MS to importer/exporter, or charges for an inspection by MS.
Prohibited Taxes
No MS will impose any internal taxation on similar domestic products. System promotes non-discriminatory principle where domestic and foreign products must be treated the same,
what is the issue with discrimination?
most issues are about forms of indirect discrimination. on paper they are treated the same, but in reality, there is discrimination)
what are the exceptions when an indirectly discriminatory tax CAN be applied?
tax can be justified based on ‘objective’ criteria (goals such as protecting the environment)
• The tax must always comply with the proportionality principle - there should be a reasonable relationship between the objective pursued and the height of the tax imposed
what is the definition of MEQR?
All trading rules established by MS that are capable of hindering intra-community trade, directly or indirectly, should be viewed as measures with the same impact as quantitative restrictions.
what do MEQR’s do?
they restrict the free movement of goods.
What are exception for MEQR’s and the cases related to them?
- Justification on the ground of public morality/policy/security (Art. 36 TFEU).
- Justification on the ground of product characteristics (Cassis de Dijon & criteria).
- Justification on the ground of selling characteristics (Keck & criteria).
