Case law stemming from the Schumacker judgment, has confirmed that the Member State of employment does not, in principle, have to grant deductions related to personal and family circumstances to a non-resident. However, the CJEU has allowed for an exception to this rule (the socalled ‘Schumacker-exception’). In its judgment of 9 February 2017 in the X case, the CJEU sheds more light on the applicability of this exception and on the situation of multiple Member States of employment. In this article the author first analyses the relevant case law rendered before X that provides more clarity on when the Schumacker exception applies and follow this with an analysis of the X case and its consequences. She concludes by discussing some remaining issues.
Intertax