According to the amendment of the Government Decree 271/2001 on the amount of the waste management fine and the method of its imposition and determination, effective from 1 April 2025, the amount and calculation method of the EPR fine, i.e. the fines that can be imposed in relation to data reporting under the extended producer responsibility system, will change.
EPR fine for failure to report quarterly data
Where a producer fails to report the quantities of circular products placed on the market, the waste management authority will calculate the amount of the EPR fine as the product actually placed on the market multiplied by half of the unit rate for that product stream. In other words, in the case of failure to report the data, and thus to pay the fee, the amount of the fine imposed is 50% of the EPR fee for the total actual quantity failed to be declared.
EPR fine for reporting false data
If the producer provides false data on the quantity of circular product placed on the market or taken into stock by him in the context of the provision of data under the Government Decree on the detailed rules for the operation of the extended producer responsibility system, and thereby fulfils his obligation to pay the fee on the basis of a lower than actual quantity of circular product, the waste management authority shall determine the amount of the fine without setting a basic fine and a multiplier, by multiplying the difference between the actual quantity data and the quantity data provided by the producer, by half the unit rate of the charge for the given product stream. Thus, the EPR fine is half of the EPR fee shortfall in this case too.
In addition to the payment of the EPR fine, producers will continue to be obliged to provide complete and accurate data for the relevant quarterly period.
It is important to note that in the case of the above infringements, the waste management authority will determine the fine on the basis of the maximum charge rate set within the product price, if the material price of the circular product cannot be determined in detail from the producer’s records.
Notification, record-keeping obligations, controls
There has been no change in the level of fines that can be imposed for non-compliance or inadequate compliance with the notification and record-keeping obligations in relation to the EPR. Failure to comply with these obligations will continue to be subject to a fine of HUF 200,000, while failure to comply properly will result in a maximum fine of HUF 200,000.
The Hungarian waste management authority is responsible for the inspection of the authenticity and completeness of the data reported, and the businesses concerned can expect to be contacted for data reconciliation, on-site inspections and, if necessary, additional documentation. The new legislation aims to oblige producers to provide accurate and timely data, thus contributing to the transparency and efficiency of the waste management system.
The tax consulting team of WTS Klient Hungary is staffed with qualified EPR and environmental product fee advisers to assist clients with their enquiries on product fees and the extended producer responsibility scheme. If you need specialist help with this, please do not hesitate to contact us.
This article provides general information and does not constitute advice.
