In a recent case (C-61/21), contrary to settled case-law, the Court of Justice of the European Union did not oblige a Member State to pay compensation. Article 13 of the 2008/50/EC Directive on ambient air quality and cleaner air for Europe obliges Member States to ensure that ambient air levels of NO2 and PM10 do not exceed EU-wide limit values. A resident in the Paris region considered that the French State had failed to ensure this and by this he has suffered damage to his health since 2003, caused by the deterioration of the ambient air quality in the Paris agglomeration. For these damages, he has claimed a total of EUR 21 million from the French State as compensation.
On 1 January 2023, a new act on the transfer of agricultural farms entered into force. The management of generational issues and the smoothing of generational change in agriculture is essential for the future of the Hungarian agriculture. In addition, the security of Hungary’s food production could be jeopardised if farm succession is not carried out properly or at all, therefore, the new act aims to help the agricultural sector to renew itself generationally.
Following the elections in April 2022, an independent ministry was created in Hungary to manage, control and regulate construction and investment activities. Shortly after meetings with the representatives of professional organizations were held to provide the basis for further legislative work on the preparation of a new framework law on the institutional, substantive and procedural rules governing public investment.
On 2 December 2022, a new act entered into force on the modification of certain acts related to the operation of territorial administration, the land registry and regional development. Under the new act, the new Land Registry Act will enter into force one year later, on 1 February 2024, instead of 1 February 2023 as planned originally. The new modifying act also contains other amendments.
The Tax Foundation issued its annual International Tax Competitiveness Index (ITCI) of 38 OECD countries. The Index seeks to measure the extent to which a country’s tax system adheres to two important aspects of tax policy: competitiveness and neutrality. The ranking weighs variables across five categories: corporate taxes, individual taxes, consumption taxes, property taxes, and international tax rules.
The Hungarian Government has adopted new decrees concerning household power plants and microgrids. These new legislations aim to enable economic operators to cooperate in fulfilling energy needs in times of high demand as well as to regulate small household power plants. The rules in question entered into force on 26 October 2022 and presumably will remain in force at least until the end of the state of emergency.
In mid-October 2022, a new bill has been submitted to the Parliament on the amendment of certain tax provisions in relation to real estates. The bill, on the basis of changes in the building regulations, clarifies the definitions of the properties under construction and built-on new properties. Thus, a built-on new property means also a property for which an occupancy permit was already issued, but then, its use or the number of its units changed (e.g. it was converted from a flat to an office) and 2 years have not yet elapsed until its sale. These properties will be sold subject to VAT.
According to the Hungarian Labor Code, employers shall keep records of the durations of regular working time and overtime, standby duty, periods of leave and overtime work performed. The working time records should be updated on a daily basis and should contain facilities to identify the time of commencement and end of any regular and overtime work and standby duty. Records of the durations of regular working time and overtime may be maintained in the form of verifying the work schedule made out in writing at the end of the month, updated on a daily basis. The Labor Code, however, does not address the question where the working time records should be physically stored.
According to a new government decree published in the Hungarian Gazette on 26 September 2022, taxpayers can pay their local business tax advance and local business tax from 1 January 2023 by transferring the amount in euro or US dollars. Taxpayers belonging to a special economic zone can pay the local business tax to the account opened for this purpose by the National Tax and Customs Authority.