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The European Commission has referred to the Court of Justice of the European Union Austrian legislation on the indexation of child benefits to community immigrants, which is considered “discriminatory” under Community rules.
“Today, the European Commission decided to refer the Austrian case to the Court of Justice of the EU. The Commission considers that Austrian legislation on the indexation of family allowances, child tax credits and family tax credits is not allowed by EU regulations and it’s discriminatory, “he said. The EU executive, in a statement published on the institution’s website, writes mediafax.ro.
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“On January 1, 2019, Austria introduced an indexing mechanism for family allowances, child and family tax credits granted to EU citizens who work in Austria and whose children live in their countries of origin. The Commission considers that such Indexing mechanism is part of in contradiction with the EU regulations on the free movement of employees and with the coordination of social security systems, “argues the European Commission.
“The mechanism contradicts current regulations on the coordination of social security systems, as EU mobility workers working in Austria making a full contribution to the Austrian economy, the workforce and the security system social receive fewer benefits compared to employees whose children live in Austria, “says the European Commission.
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The European Commission launched in January 2019 the procedure that could lead to the sanction of Austria due to the law on the indexation of child benefits for EU immigrants.
In October 2018, the Vienna Parliament passed a bill stipulating that immigrants from other countries of the European Union who work in Austria will receive subsidies adapted to the standard of living and income of that nation for children in their country of origin. . Therefore, for most states, including Romania, this measure means a reduction in the amounts paid, adjusting to the standard of living in the countries of the community where these children live. The measure went into effect on January 1, 2019.
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