The European Commission has opened an in-depth investigation into whether Hungary’s advertisement tax introduced in June 2014 complies with EU state aid rules. In particular, the Commission has concerns that the progressive tax rates, ranging from 0 to 50%, could selectively favour certain companies and give them an unfair competitive advantage. The Commission has therefore also taken a separate decision prohibiting Hungary from applying progressive rates until the Commission has finished its assessment (a so-called “suspension injunction”). The opening of an in-depth investigation gives interested third parties the opportunity to comment. It does not prejudge the outcome of the investigation. Here to read more.