Hungary Faces Criticism Over Corporate Tax

2011. január 04. 12:41

Critics say the center-right Hungarian government is centralizing power and adopting populist policies with a nationalist edge.

2011. január 04. 12:41
„Already under attack over controversial new media laws, Hungary faced new criticism on the first working day of its presidency of the European Union — this time being accused of discriminating against big foreign investors.

Following complaints from more than a dozen West European corporations, the European Commission, the bloc’s executive, said it would investigate whether Hungary was breaking the law by levying a new crisis tax that will hit foreign companies hard.

A country of 10 million, Hungary faces six months of unusually close scrutiny while it takes charge of E.U. business.

Critics say the center-right Hungarian government is centralizing power and adopting populist policies with a nationalist edge, a charge rejected by the government in Budapest.

The rotating presidency of the E.U. is less important following the creation of a full-time E.U president and foreign policy chief by the Lisbon Treaty. But it retains significant power for a variety of policies, from the environment to fisheries.

Hungary is only the third East European nation to take over the presidency since the Union was enlarged, first in 2004 and then in 2007.

Although Slovenia’s six-month term was largely uneventful, the Czech Republic’s presidency proved prone to accidents, and critics say Hungarian leadership could prove equally controversial.”
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