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Judgement could have big implications for electronic book industry (Photo: wajakemek | rashdanothm)

EU court bans e-book tax perks

The European Court of Justice (ECJ) ruled on Thursday (5 March) that France and Luxembourg cannot apply a reduced VAT rate on electronic books, but it imposed no fines and gave no deadline to comply.

The court said the reduced rate applies only to "the supply of books ... on all physical means of support" and that "such support is not included in the supply of electronic books".

The court upheld a European Commission action launched against France and Luxembourg in 2013.

The...

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