Strojirny Prostejov, a.s. and another company v Odvolaci financni reditelstvi

European Union – Freedom of movement. The Court of Justice of the European Union ruled that art 56 of the Treaty on the Functioning of the European Union precluded legislation under which companies established in one member state using workers employed and seconded by temporary employment agencies established in another member state, but operating in the first member state through a branch, were obliged to withhold tax and to pay to the first member state an advance payment on the income tax due by those workers, whereas the same obligation was not imposed on companies established in the first member state which used the services of temporary employment agencies established in that member state.

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