The EU Commission finds that a German levy to offset the cost of compulsory milk quality tests is incompatible State aid (Milk quality tests)

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Is there an Advantage when the State Pays for Compulsory Milk Tests?* Undertakings obtain an advantage when the state pays for their normal costs. Normal costs are costs which are inherent in the operations of undertakings. The costs of meeting legal obligations are normal. Introduction The case law on advantage in the meaning of Article 107(1) TFEU says that aid confers an advantage to undertakings when they obtain a benefit that reduces their “normal” costs. This immediately raises the question of what is normal? Normal costs are those which are inherent in the operations of undertakings (employment costs, investment costs, training costs, etc). But is inherent in the operation of an undertaking a compulsory test (i.e. a test that the undertaking is obliged by law to carry out)?

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