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EC decision on telco tax not expected this year

Hungary's government does not expect the European Commission to take a decision on the country's telco tax this year, daily Népszabadság said on Monday, citing the National Economy Ministry.

Responding to a query by the paper, the ministry said the telco tax was in full compliance with European Union law, as the government has detailed for Brussels.
The European Commission sent a letter of formal notice to Hungary in June concerning a "crisis tax" that has been levied on telecommunications companies since 2010. The letter was sent after a careful review of complaints by foreign companies from other European Union member states that the taxes were discriminatory, an EC spokesperson said at the time. The letter of formal notice is "not an infringement as such" but a "request for further information from the Hungarian authorities", the spokesperson added.
Hungary had two months to provide further information on the tax.