Budapest’s telephone tax draws Brussels’ ire

Published on 25 January 2013

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The tax on telephone calls passed in May 2012 by the Budapest parliament, which came into force on January 1, “does not please Brussels,” headlines Népszabadság. The European Commission has indeed begun infringement proceedings against Hungary by sending the government of Viktor Orbán a letter of formal notice on January 24. This can lead to proceedings before the European Court of Justice and to sanctions explains the daily.

In 2011 the European Commission opened an investigation into the “crisis tax” brought in by the Hungarian government in October 2010, the newspaper explains. These exceptional measures target the energy, telecommunications, retail and financial sectors. Due to expire in 2013, they have been extended sine die. Hungary's government has two months to respond to the remarks from Brussels or to bring its legislation into line with European Union law.

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