EU Sues Hungary Over Tax on Telecommunications Operators

The European Union said it will sue Hungary over a tax the government imposes on telecommunications operators.

The European Commission, the EU regulator in Brussels, said it will take the case to the European Court of Justice because Hungary “continues to impose a specific tax on the turnover of telecoms operators in violation of EU rules,” according to a statement today. “The commission considers this tax illegal because EU telecoms rules allow sector-specific charges only to cover the specific costs of regulating the sector and not to generate additional revenue for the central budget.”

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