- 17 May 2017 8:00 AM
Hungary introduced the graduated tax, with rates ranging from 0 percent to 50 percent, in June 2014.
The European Commission launched an in-depth investigation into the matter in March 2015 and asked Hungary to suspend application of the tax.
The commission in a resolution dated November 4, 2016, found the tax incompatible with European Union rules and ordered Hungary to recover taxes from companies that enjoyed an unfair advantage.
The government appealed the decision and turned to the European Court of Justice to seek legal remedy.
Republished with permission of Hungary Matters, MTI’s daily newsletter.