Court decision: Ryanair must urgently pay a brutal fine in Hungary
The Hungarian government introduced a so-called excess profit tax (‘departure tax’) last year after the elections because of the economic crisis following the start of the Russian aggression in Ukraine. Ryanair passed the tax onto the passengers for which the Budapest Court fined them HUF 300 million (EUR 794 thousand). The Irish low-cost airline filed a constitutional challenge in July, but the Constitutional Court did not decide in their favour.
The Irish airline to pay a lot of money
According to 24.hu, Ryanair wrote in their challenge that the departure tax harms the equality of burden sharing. Based on the relevant government decree, airlines must pay the tax after each of their passengers. Its sum is HUF 3,900 or HUF 9,750 (EUR 10.33 or 25.8), depending on the destination.
The Constitutional Court decided on the issue on Wednesday, and they rejected the plea of the Irish airline. They said that they have no authority to inspect the complaint. That is because the supermajority of the Orbán government narrowed the powers of Hungary’s top court. Until the state debt exceeds 50 percent of the GDP, they have limited powers concerning taxation, levies and contributions.
Thus, Ryanair will have to pay HUF 300 million (EUR 794 thousand) as customer protection fine into Hungary’s state budget for passing the departure tax onto its passengers. Not surprisingly, they issued a hard-hitting statement which we are sharing with you below unchanged. Before, they threatened they would leave Hungary if the departure tax remained. But it seems they still make good money here. Thus, they do not even mention leaving in their statement. Here is their writing:
Ryanair condemns Hungarian government’s fake tourism tax
Ryanair, Hungary’s No.1 airline, today (21 Apr) regrets that the Hungarian Constitutional Court has reversed its previous decision to accept Ryanair’s constitutional challenge of the Hungarian Govt’s failed and illogical “excess profits” tax on loss making airlines in Hungary. However, the Constitutional Court’s decision is of no consequence as the Hungarian Govt had already replaced its illogical “excess profits” tax on airlines, with an equally ridiculous fake “eco tax” of up to €32 per passenger!
This flagrant attempt to dress up their money grab up as an “eco tax”, when it is just an excessive tax on tourism, visitors and Hungarian families. Point-to-point airlines like Ryanair already pay millions of euros every year under the EU Emissions Trading Scheme which covers emissions on flights to/from Hungary. The Hungarian Govt’s greenwashing is just a double taxation at a time when low-cost air access to/from Hungary is essential for the competitiveness of the Hungarian economy, which is suffering record inflation.
During a cost-of-living crisis in Hungary, these unjustified taxes do nothing but further squeeze Hungarian citizens/visitors and damage the Hungarian economy which is dependent on low fare air access and tourism. Ryanair already cancelled 8 routes and reduced frequencies on a further 7 routes from Budapest for Winter ’22 in direct response to the Hungarian Govt’s bizarre “excess profits” tax and its replacement fake “eco tax”. A Ryanair spokesperson said: “We call again on the Hungarian Govt to scrap this stupid “eco tax” on flights to/from Hungary which will damage tourism and jobs, while penalizing Hungarian visitors and citizens at a time of record price inflation in Hungary.”
Read also:
So, the Orbanistan government now has the courts under it’s control. One more step towards a dictatorship.
VictorsCloset, Mr. Putin did not violate any Hungarian laws. Try to remember that oil/gas supply comes from Russia. It would be unreasonable to make an enemy of Mr. Putin and the Russian people. It is always a bad policy to bite the hand that feeds you.
Will Rynair pay their customers back the tax they had to pay?
REMEMBER – the Judiciary – the Courts of Hungary are controlled by the Orban Government / Fidesz Political Party.
This FACT – proven ” Beyond a Reasonable Doubt” – over the course of 13 years that Victor Orban has been, his second coming, the Prime Minister of Hungary and the Leader of the Fidesz Political Party.
Europe knows – the Global World of the country’s that are DEMOCRACY know, this FACT.
It REMAINS a MAJOR obstacle – in, if there is to be, a FUTURE for Hungary as a Member Country of the European Union.
Compliance – which Hungary still is FLOUNDERING to meet – what the European Union under Laws of Membership, to “sign off” on, in proof, that Orban and his Government, will support and be a Member country under DEMOCRACY.