Diritto ed Economia dell'ImpresaISSN 2499-3158
G. Giappichelli Editore

31/07/2022 - Family benefits: adjustment based on the state of residence of sons is contrary to E.U. law

argomento: News del mese - Diritto Internazionale e Comunitario

Articoli Correlati: State of residence - children - family benefits

On 16 June 2022, the E.U. Court of Justice, in the sentence given in case no. C-328/20, ruled on the issue of the adjustment of family allowances and other tax advantages, granted by Austria in favor of workers, according to the state of residence of the children, believing that this mechanism is contrary to the law of Union and constitutes unjustified indirect discrimination based on the citizenship of migrant workers. These measures constitute family benefits falling within the scope of the regulation on the coordination of social security systems, which are not subject to any reduction or modification due to the fact that the beneficiary or the family members reside in a Member State other than the one in which grants such benefits, a measure which would essentially affect migrant workers, as it is likely that their children are more likely to reside in another Member State. Consequently, this adjustment mechanism constitutes indirect discrimination based on citizenship, contrary to the principle of equal treatment set out in Article 4 of Regulation no. 883/2004 and article 7 of Regulation no. 492/2011 which, in any case, is not justified. It is also a violation of the regulation of the free movement of workers within the Union.