The European Commission said after it launched the procedure that it considered the retail-sector tax to be discriminatory because it exercised a disproportionate impact on non- Hungarian companies.

The ministry welcomed the EC’s decision not to pursue the infringement procedure, adding that the decision confirms Hungary’s viewpoint that the retail-sector tax did not violate European Union regulations.

Retailers in Hungary with annual revenue over 500 million forints are required to pay the sectoral tax, which is calculated as a proportion of revenue: either 0.%, 0.4% or 2.5%, depending on turnover.

Source www.hungarymatters.hu

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