"The government has informed the European Commission that it will not abolish its special telecoms tax introduced last year, two months after the EU requested that it do so, Napi Gazdaság has learnt from the Foreign Ministry.The government said in its response that it does not plan to abolish the tax, as the regulation is in line with EU law.
The special tax was introduced not to influence the operations of sector players, but to assert the principle of a fair and just distribution of tax burdens for a temporary period at a time of crisis, the government argues.
The European Commission can now close its infringement procedure or refer the case to the European Court of Justice.
The Commission has said the tax violates EU law because proceeds went to the budget and not towards the specific costs of regulating the telecom sector."
Source: Hungary Around the Clock.
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02.12.2011