NEWSROOM

New VAT rules for small enterprises in the EU

Changes in the SME VAT scheme will open the VAT exemption simplification to cross-border activity from 1 January 2025. If conditions are met, eligible businesses may benefit from the SME scheme in other Member States.

EU gates open to illegal immigrants in Spain

On 19 November 2024, the Spanish government announced a major change to its immigration law. The reform will allow 300,000 undocumented illegal immigrants to obtain residence and work permits every year for the next three years. The reform package would also make it easier and longer for immigrants to obtain visas.

"Temu tax" could make online shopping more expensive from January

Following the restrictions in the Far East, all companies operating online marketplaces in Hungary can expect significant tax changes and a new tax burden from January 2025. The change may also affect the very competitive prices that have been the main reason for the popularity of the big platforms and their competitive advantage over domestic retail. One of the most significant provisions of the autumn tax package is the one that would extend the special retail tax to so-called platform operators. The tax liability would fall on the foreign or domestic operator of the online marketplace for sales made by retailers through the platform. Platform operators are defined as web shops or applications that mediate sales between professional sellers and their customers. Examples include Temu, Wish or, for example, Amazon.

Solar Panel Owners Appeal to the Constitutional Court

1111 complaints have been submitted to the Constitutional Court of Hungary by domestic solar panel users, who argue that the change in the balance accounting system is causing them significant financial disadvantages. Specifically, the amendment introduces a monthly gross settlement after 10 years of solar panel installation.

Important Update: Keeping Your Security Top of Mind

We have recently been informed that malicious actors are using law firms, including our firm’s name and logo in phishing attempts targeting clients and contacts.

Amendment of energy related acts from 1 January 2025

A bill on the amendment of certain energy-related laws was submitted to the Hungarian Parliament at the end of October 2024. Among others, the bill would amend the following laws from 1 January 2025: the Mining Act, the District Heating Services Act, the Electricity Act, the Environmental Product Charges Act and the Waste Act.

We wish you and your loved ones a merry Christmas, happiness, and success in the New Year!

Thank you for your confidence in us and the successful cooperation this year. We look forward to doing business with you again in 2025.

EDPB introduces new draft guidelines on legitimate interest

Although it was already implemented in the practice of most national Data Protection Authorities, no unified guidelines have been issued since the entry into force of the GDPR on "legitimate interest" as a lawful basis for processing personal data. On 8 October 2024, the European Data Protection Board (EDPB) released a draft clarifying how organizations can rely on "legitimate interest" as a lawful basis for processing personal data under GDPR. This update is particularly relevant for businesses engaged in data processing activities such as direct marketing or AI model training.

Database of building materials to be set up in Hungary

In November 2024, multiple sources reported that the Hungarian government is considering the introduction of significant construction regulations in 2026, based on a leaked draft.

Not Every Data Breach Leads to Fines: EU Court Clarifies GDPR Enforcement

The European Court of Justice (CJEU) has clarified that national data protection authorities are not obligated to impose fines or other sanctions automatically in every case of a data breach under the General Data Protection Regulation (GDPR). In Germany, a savings bank discovered that an employee had repeatedly accessed a customer’s personal data without authorization. The bank took disciplinary action, obtained assurances from the employee, and reported the breach to the Hessen Data Protection Commissioner, but chose not to inform the customer, considering the risk low. After learning of the breach, the customer filed a complaint seeking stricter action, but the Commissioner declined to impose sanctions, citing the bank’s corrective measures. Unsatisfied, the customer escalated the case to a German court, which sought the CJEU’s interpretation of the GDPR.