The European Commission has launched an investigation in the advertising tax case

The European Commission launched a so-called in-depth investigation in the case of the advertising tax that was introduced last year in Hungary – the EC announced on Thursday in Brussels.

The European Commission would like to determine whether the advertisement tax complies with the European Union rules. The EC suspects that the 0 to 50 percent selective progressive tax rate can create an unfair competitive advantage to certain companies.

In a separate decision, the EC said it prohibited Hungary from applying the progressive rates, in a “suspension injunction”, until its assessment is finished. (Konsiczky Zoltán, MTI)