Neutralisation of discrimination in direct taxation: the problem of applicability from the perspective of tax treaties and 'opt in' domestic clauses

Abstract: The thesis provides the analysis of the concept of neutralisation based on the existing case law of the CJEU, AGs' opinions and academic writings. It introduces the reader to the meaning, scope and the purpose of neutralisation. The core aspect is the difference in the approach used by CJEU in allowing to use the neutralisation as a compensatory measure for discriminatory treatment of a taxpayer either in a domestic situation (so called 'opt in' clauses which give access to an alternative tax regime to non-residents) or cross-border situations involving tax treaties. Ultimately the paper seeks to answer the question whether neutralisation is compatible with EU law and on what basis. Final parts provide additional thoughts as to current difficulties and possible future developments.