POLITICO: Brussels considers cutting Hungary out of global tax rate bill

08 September 2022

The plan would involve a so-called enhanced-cooperation deal to circumvent Budapest’s veto.

The European Commission is asking member governments whether they’d support a plan to cut Hungary out of the EU’s bid to introduce a global minimum corporate tax rate of 15 percent.

Four officials from EU national finance ministries told POLITICO the Commission officials have been putting calls into capitals to gauge their appetite for a so-called enhanced-cooperation deal that would nullify Budapest’s veto of the initiative.

Tax bills require unanimity to get through Brussels’ legislative machinery, giving any EU country of any size the power to block them. But enhanced cooperation would allow member countries that favor the measure to progress without having to reach unanimity — leaving Budapest out in the cold.

POLITICO

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