Emission Rights and Corporate Income Tax in the EU - Intertax View Emission Rights and Corporate Income Tax in the EU by Iñaki Bilbao Estrada,Lluís M. Fargas Mas - Intertax Emission Rights and Corporate Income Tax in the EU Iñaki Bilbao Estrada Lluís M. Fargas Mas 37 11

This article studies the impact of emission rights on Corporate Tax in the European Union (EU), with a particular focus on accounting. Specifically, it will be demonstrated how emission rights can be employed as fiscal planning instruments at both internal and international levels, with due attention given to the different tax and accounting treatments anticipated in the different legislation of EU Member States. Given these planning opportunities, this article advocates the fiscal neutrality of emission rights in order to avoid a distortion of the European Greenhouse Gas (GHG) emission rights trading scheme.

Intertax