European Commission Adopts Proposal for Decision to Extend Hungary’s Special VAT Measure on Specified Goods

The European Commission (EC) Nov. 21 adopted Proposed Council Implementing Decision No. COM(2024) 543, to amend Implementing Decision (EU) 2018/789 to extend Hungary’s authorization for a special measure deviating from Article 193 of EU Directive 2006/112/EC, on the common system of VAT. Hungary’s special measure applies the reverse charge mechanism to supplies of capital goods, and other goods and services, with an open market value exceeding 100,000 Hungarian forints (US$253), when the taxable person supplying them is subject to liquidation or other insolvency proceedings. The proposed decision includes measures to extend, until Dec. 31, 2026, from Dec. 31, 2024, Hungary’s ...