The tax exemptions enjoyed by the Catholic Church in Spain may constitute unlawful State aid if and to the extent that they are granted for economic activities, the Court of Justice of the EU stated in a judgment returned on Tuesday 26 June (case C-74/16).
An agreement between Spain and the Holy See pre-dating Spanish accession to the European Union in 1986 provides for various tax exemptions for the Catholic Church. In this case, a religious congregation of the Spanish Catholic Church, as...