WORLD TRADE  
ORGANIZATION   
G/SCM/N/220/EEC/Add.12
16 November 2011 
 (11-5233) 
Committee on Subsidies and 
Countervailing Measures Original:   English 
 
 
 
SUBSIDIES 
 
New and Full Notification Pursuant to Article XVI:1 
of the GATT 1994 and Article 25 of the Agreement 
on Subsidies and Countervailing Measures 
  
EUROPEAN UNION 
 
 
Addendum 
   The following addendum to the notification of  the European Union relates to subsidy 
programmes of Hungary.  
 
_______________ G/SCM/N/220/EEC/Add.12 
Page 2   
  HUNGARY 
 
TABLE OF CONTENTS 
Page 
HUNGARY 2009 .................................................................................................................. .................. 4  
I.  CORPORATE TAX CONCESSIONS TO ASSIST STRUCTURAL 
ADJUSTMENT AND ECONOMIC DEVELOPMENT ....................................................... 4  
1.  Tax Concession For Investments Exceeding 3 Billion HUF .................................................. 4  
2.  Tax Concession for Investments Exceeding 10 Billion HUF ................................................. 5  
3.  Tax Relief for Projects of Sma ll and Medium Enterprises ................................................... 6  
4.  Tax Concession for Small and Me dium Sized Enterprises ................................................... 6  
5.  Tax Concession Related to Development Projects ................................................................. 7  
6.  Tax Relief for Intellectual Products ........................................................................................ 9  
7.  Tax Relief for Employment .................................................................................................... 10 
8.  Tax Concession for Software Developers .............................................................................. 11  
9.  Preferential Tax Rate ......................................................................................................... .... 11 
10.  Tax Relief for Research and Development ........................................................................... 12  
11.  Tax Concession for Film Production ..................................................................................... 13  
12.  Accelerated Depreciation for Small and Medium-sized Enterprises ................................. 14  
13.  Tax Relief for Capital Gains from Registered Shares ......................................................... 15  
II.  INNOVATION FUND FOR RESE ARCH AND TECHNOLOGY .................................... 16  
III. BUDGETARY SCHEME EARMARKED FOR NATIONAL INVESTMENT 
PROMOTION ..................................................................................................................... .... 17 
IV.  BUDGETARY SCHEME EARMARKED FO R INVESTMENT PROMOTION ........... 18  
V.  MINING CONVERSION  PROGRAMME .......................................................................... 19  
VI.  BUDGETARY SCHEME EARMARKED FOR THE DEVELOPMENT OF 
SMALL AND MEDIUM SIZED ENTERPRISES .............................................................. 20  
VII. SUBSIDY FOR JOB-CREATION ........................................................................................ 21  
VIII. CO-FINANCED SUBSIDY PROGRAMMES ..................................................................... 22  
1.  Economic Development Operati onal Programme (EDOP) ................................................. 22  
2.  Environment and Energy Operational Programme (EEOP)  .............................................. 24  
3.  Social Renewal Operational Programme ( SROP)  ................................................................ 25  
4.  Transport Operational Programme ( TOP)  ........................................................................... 26  
5.  Electronic Public Administration Operational Programme ( EPAOP)  .............................. 27  
6.  South Great Plain Operational Programme (SGPOP) ........................................................ 29  
7.  South Transdanubia Operational Programme (STDOP) ................................................... 30  
8.  North Great Plain Operational Programme (NGPOP) ....................................................... 31  
9.  North Hungary Operational Programme (NHOP) .............................................................. 32  
10.  Central Transdanubia Operational Programme (CTDOP) ................................................ 33  
11.  Central Hungary Operational Programme (CHOP) ........................................................... 35  
12.  West Pannon Operational Programme (WPOP) ................................................................. 36  
13.  Central Europe Programme .................................................................................................. 37  
14.  Agriculture and Rural Development Operational Programme .......................................... 38   G/SCM/N/220/EEC/Add.12 
 Page 3 
 
 
  HUNGARY 2010 .................................................................................................................. ................ 40  
I.  CORPORATE TAX CONCESSIONS TO ASSIST STRUCTURAL 
ADJUSTMENT AND ECONOMIC DEVELOPMENT ..................................................... 40  
1.  Tax Concession for Investments Exceeding 3 Billion HUF ................................................. 40  
2.  Tax Concession for Investments Exceeding 10 Billion HUF ............................................... 41  
3.  Tax Relief for Projects of Small and Medium Enterprises ................................................. 42  
4.  Tax Concession for Small and Medium Sized Enterprises ................................................. 42  
5.  Tax Concession Related to Development Projects ............................................................... 43  
6.  Tax Relief for Employment .................................................................................................... 45 
7.  Tax Concession for Software Developers .............................................................................. 45  
8.  Preferential Tax Rate ......................................................................................................... .... 46 
9.  Tax Relief for Research and Development ........................................................................... 47  
10.  Tax Concession for Film Production ..................................................................................... 48  
11.  Accelerated Depreciation for Small and Medium-sized Enterprises ................................. 49  
12.  Tax Relief for Capital Gains from Registered Shares ......................................................... 50  
II.  RESEARCH AND TECHNICAL INNOVATION FUND .................................................. 51  
III. BUDGETARY SCHEME EARMARKED FOR NATIONAL INVESTMENT 
PROMOTION ..................................................................................................................... .... 52 
IV.  BUDGETARY SCHEME EARMARKED FO R INVESTMENT PROMOTION ........... 53  
V.  MINING CONVERSION  PROGRAMME .......................................................................... 55  
VI.  BUDGETARY SCHEME EARMARKED FOR THE DEVELOPMENT OF 
SMALL AND MEDIUM SIZED ENTERPRISES .............................................................. 55  
VII. SUBSIDY FOR JOB-CREATION ........................................................................................ 56  
VIII. CO-FINANCED SUBSIDY PROGRAMMES ..................................................................... 58  
1.  Economic Development Operati onal Programme (EDOP) ................................................. 58  
2.  Environment and Energy Operational Programme (EEOP)  .............................................. 59  
3.  Social Renewal Operational Programme ( SROP)  ................................................................ 60  
4.  Social Infrastructure Operational Programme ( SIOP)  ....................................................... 61  
5.  Transport Operational Programme ( TOP)  ........................................................................... 63  
6.  Electronic Public Administration Operational Programme ( EPAOP)  .............................. 64  
7.  South Great Plain Operational Programme (SGPOP) ........................................................ 65  
8.  South Transdanubia Operational Programme (STDOP) ................................................... 66  
9.  North Great Plain Operational Programme (NGPOP) ....................................................... 67  
10.  North Hungary Operational Programme (NHOP) .............................................................. 69  
11.  Central Transdanubia Operational Programme (CTDOP) ................................................ 70  
12.  Central Hungary Operational Programme (CHOP) ........................................................... 71  
13.  West Pannon Operational Programme (WPOP) ................................................................. 72  
14.  South East Europe Transnational Co-operation Programme ............................................ 74  
15.  Hungary-Slovakia Cross-border Co-operation Programme 2007-2013 ............................ 75  
16.  Hungary-Romania Cross-border Co-operation Programme 2007-2013 ........................... 76  
17.  Operational Programme for Objective 3 Cross-border Co-operation Austria-
Hungary 2007-2013 ............................................................................................................. .... 78 
 G/SCM/N/220/EEC/Add.12 
Page 4   
  HUNGARY 2009 
I. CORPORATE TAX CONCESSIONS TO ASSIST STRUCTURAL ADJUSTMENT 
AND ECONOMIC DEVELOPMENT  
1. Tax Concession For Investments Exceeding 3 Billion HUF 
1. Title of the subsidy programme 
 
 Tax concession for investments exceeding 3 billion HUF.  2. Period covered by the notification 
 
 2009. 
 3. Policy objective and/or purpose of the subsidy 
  The purpose of this tax concession is to stim ulate investments in underdeveloped regions 
from a social-economic point of view and/or in c ounties having unemployment rate higher than 15 per 
cent.  4. Background and authority for the subsidy 
  This tax benefit is provided for by Secti on 21 of the Act LXXXI of 1996 on the Corporate 
Tax and Dividend Tax.  
 5. Form of the subsidy 
  The subsidy is in the form of deduction from the corporate tax.  
 
6. To whom and how the subsidy is provided 
  Companies with head office or premises registered in a socially-economically 
underdeveloped region and/or in a county where the unemployment rate exceeds 15 per cent, and after 
31 December 1996 began an investment of at least  3 billion HUF for the production of goods may 
receive a tax concession in a ten year period following the project's start up.  
  The above tax benefit can only be applied fo r from the second taxation year and thereafter if 
the annual average number of the staff employed exceeds by at least 100 persons the average number 
of the staff employed in the year preceding the start up.  
 
 The tax concession equals to the ratio of sal es revenue from manufacturing operations to the 
total sales revenue.    This tax concession cannot be applied to projects commencing subsequent to 
31 December 2002.  
 
7. Subsidy per unit or the total amount 
  The tax benefit accounted for HUF 15.1 billion.    G/SCM/N/220/EEC/Add.12 
 Page 5 
 
 
  8. Duration of the subsidy 
 
 This tax concession may not be applied after the year 2011.   9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   
2. Tax Concession for Investments Exceeding 10 Billion HUF 
1. Title of the subsidy programme 
 
 Tax concession for investments exceeding 10 billion HUF.  2. Period covered by the notification 
 
 2009. 
 3. Policy objective and/or purpose of the subsidy 
  The purpose of this tax benefit is  to promote large investments.  
 
4. Background and authority for the subsidy 
 
 This tax benefit is provided for by Secti on 21 of Act LXXXI of 1996 on the Corporate Tax 
and Dividend Tax.   
5. Form of the subsidy 
 
 The subsidy is in the form of deduction from the corporate tax.   6. To whom and how the subsidy is provided 
 
 Companies that began after 31 December 1996 an investment of at least 10 billion HUF 
destined for the production of goods may receive a 100 per cent tax concession in a ten year period 
following the project's start up.    The above tax benefit can only be applied fo r if the annual average number of the staff 
employed exceeds by at least 500 persons the average number of the staff employed in the year 
preceding the start up.   This tax concession cannot be applied to projects commencing subsequent to 
31 December 2002.   
7. Subsidy per unit or the total amount 
 
 The tax benefit accounted for HUF 32.3 billion.   8. Duration of the subsidy 
  This tax concession may not be applied after the year 2011.  G/SCM/N/220/EEC/Add.12 
Page 6   
  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   
3. Tax Relief for Projects of Small and Medium Enterprises 
1. Title of the subsidy programme 
 
 Tax relief for projects of small and medium enterprises.   2. Period covered by the notification 
  2009.  3. Policy objective and/or purpose of the subsidy 
 
 The objective of this scheme is to promot e investment activities of small and medium 
enterprises.   4. Background and authority for the subsidy 
  The tax relief is provided for by Section 7, pa ragraph (1), subparagraph zs) of Act LXXXI of 
1996 on the Corporate Tax and Dividend Tax.  
 5. Form of the subsidy 
  This subsidy is in the form of deduction from the corporate tax base.  
 
6. To whom and how the subsidy is provided 
  Investing small and medium enterprises, provi ded all of their members were private natural 
persons in the tax year.   
7. Subsidy per unit or the total amount 
 
 The tax relief is equal to the total amount of th e project costs, but may not be higher than the 
pre-tax profit or HUF 30 million.   
 The tax benefit accounted for HUF 8.9 billion.  
 8. Duration of the subsidy 
  This tax relief was introduced in 2001. No explic it time limit is attached to this subsidy.  
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   
4. Tax Concession for Small and Medium Sized Enterprises 
1. Title of the subsidy programme 
 
 Tax concession for small and medium sized enterprises.   G/SCM/N/220/EEC/Add.12 
 Page 7 
 
 
  2. Period covered by the notification 
 
 2009.  3. Policy objective and/or purpose of the subsidy 
  The purpose of this tax concession is to stimulate investment activities of small and medium-sized enterprises.   4. Background and authority for the subsidy 
  The tax concession is provided for by Secti on 22/A of Act LXXXI of 1996 on Corporate Tax 
and Dividend Tax.   5. Form of the subsidy 
  The subsidy is in the form of deduction from the corporate tax.   6. To whom and how the subsidy is provided 
  Small and medium-sized enterprises financing their investments by bank loans.  
 
7. Subsidy per unit or the total amount 
  The tax concession is equal to 40 per cent of the interest paid on bank loans during the tax year. The concession may not be in excess of 6 million HUF per year.  
 
 The tax benefit accounted for HUF 2.5 billion.  8. Duration of the subsidy 
  This tax concession was introduced in 2001. No expl icit time limit is attached to this subsidy.  
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   5. Tax Concession Related to Development Projects 
1. Title of the subsidy programme 
 
 Tax concession related to development projects.   2. Period covered by the notification 
  2009.  3. Policy objective and/or purpose of the subsidy 
 
 The objective of this scheme is to  stimulate investment activities.  
 G/SCM/N/220/EEC/Add.12 
Page 8   
  4. Background and authority for the subsidy 
 
 This tax concession has been provided for by Section 22/B of Act LXXXI of 1996 on the Corporate Tax and Dividend Tax.   
5. Form of the subsidy 
 
 The subsidy is in the form of deduction from the corporate tax.   6. To whom and how the subsidy is provided 
  Tax concession is granted to a taxpayer whose development project enta ils an investment of 
at least 3 billion HUF or 1 billion HUF if the project is started and operated in preferable regions. The 
tax concession can be applied in the four years fo llowing the first year in which the tax concession is 
used if:  
 
(a) the average work force empl oyed exceeds the average number of persons employed 
during the year prior to the commencement of  the project by at least 150 workers - or 
75 workers if the project is started a nd operated in preferable regions, or 
(b) if the taxpayer's annualized wage costs are at least 600 times greater than the amount 
of the minimum wage effective on the first day of the tax year as calculated for the 
tax year - or at least 300 times greater if  the project is launched and operated in 
preferable regions - as compared to the a nnualized wage costs of the year preceding 
the year in which the project commenced. 
 Tax concession is granted for:  
 
(a) development projects with a value of at  least 100 million HUF, if it constitutes the 
launch and operation of an independent environmental protection project or a 
wideband Internet service or a food facility project or a basic research, applied research and experimental development or  a motion picture and video production 
project, 
(b) development projects with a value of at least 100 million HUF, if these projects have 
been financed by newly i ssued shares and the relevant joint-stock company is 
registered at the stock exchange, 
(c) projects serving to create new jobs.  
 Tax concession for projects serving to create new jobs is granted if during the four years 
subsequent to the third tax year following the fi rst year in which the tax allowance is used:  
 
(a) at least 20 per cent of the total workfor ce hired for the new jobs created under the 
development programme are new entrants in the labour market, and 
(b) the average work force empl oyed exceeds the average number of persons employed 
during the year prior to the commencement of the project by at least 300 workers (150 workers for medium-sized enterprises,  30 workers for small enterprises), or 150 
workers (75 workers for medium-sized ente rprises, 15 workers for small enterprises) 
if the project is started and operated in pr eferable regions, or 20 workers (5 workers 
for small and medium-sized enterprises) if the project is started and operated in any 
one of the 48 micro-regions deemed most underprivileged.  G/SCM/N/220/EEC/Add.12 
 Page 9 
 
 
  7. Subsidy per unit or the total amount 
 
 The support granted to a specific developmen t project may not be higher than the amount 
computed by the ratio stipulated in the legi slation from the total cost of the project. 
 
 The tax concession may be claimed up to 80 per cent of the corporate income tax otherwise 
payable.    The tax benefit accounted for HUF 10.6 billion.  
8. Duration of the subsidy 
 
 The tax concession may be applied for ten years.   9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   
6. Tax Relief for Intellectual Products 
1. Title of the subsidy programme 
 
 Tax relief for intellectual products.  
 2. Period covered by the notification  
  2009. 
 
3. Policy objective and/or purpose of the subsidy 
  The objective of this scheme is to promote intellectual activities.   4. Background and authority for the subsidy 
  This tax relief has been provided for by S ection 7, paragraph (1), subparagraph sz) of 
Act LXXXI of 1996 on the Corporate Tax and Dividend Tax.   5. Form of the subsidy 
  This subsidy is in the form of deduction from the corporate tax base.  
 6. To whom and how the subsidy is provided 
  Small and medium-sized enterprises.  
 
7. Subsidy per unit or the total amount 
  The tax relief is equal to the expenses incurre d in connection with the acquisition of rights in 
Hungary of a patent, consumer or industrial design and consumer or industrial design protection right.  
 
 The tax benefit accounted for HUF 0.1 billion.   G/SCM/N/220/EEC/Add.12 
Page 10   
  8. Duration of the subsidy 
 
 This tax relief was introduced in 2005. No explic it time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   
7. Tax Relief for Employment 
1. Title of the subsidy programme 
 
 Tax relief for employment.   2. Period covered by the notification 
 
 2009. 
 3. Policy objective and/or purpose of the subsidy 
  The objective of this scheme is to promote employment.   
4. Background and authority for the subsidy 
 
 This tax relief has been provided for by S ection 7, paragraph (1), subparagraph y) of 
Act LXXXI of 1996 on the Corporate Tax and Dividend Tax.   
5. Form of the subsidy 
 
 This subsidy is in the form of deduction from the corporate tax base.  
 6. To whom and how the subsidy is provided 
 
 Micro enterprises with no more than five employees.  
 7. Subsidy per unit or the total amount 
  The tax relief is equal to the sum recei ved by multiplying the minimum wage by any 
increment in the average number of employees in comp arison to the previous tax year. This tax relief 
can be applied if the taxpayer has no tax debts.    The tax benefit accounted for HUF 0.1 billion.   8. Duration of the subsidy 
  This tax relief was introduced in 2005. No explic it time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
  G/SCM/N/220/EEC/Add.12 
 Page 11 
 
 
  8. Tax Concession for Software Developers 
1. Title of the subsidy programme 
 
 Tax concession for software developers.   
2. Period covered by the notification 
 
 2009.  3. Policy objective and/or purpose of the subsidy 
  The objective of this scheme is to stimulate the employment of software developers in small and medium-sized enterprises.   4. Background and authority for the subsidy 
  This tax concession has been provided for by Section 22, paragraph ( 10) of Act LXXXI of 
1996 on the Corporate Tax and Dividend Tax.   5. Form of the subsidy 
 
 The subsidy is in the form of deduction from the corporate tax.  
 6. To whom and how the subsidy is provided 
  Small and medium-sized enterprises employing software developers.  
 
7. Subsidy per unit or the total amount 
  Small and medium-sized enterprises are entitle d to a tax concession of  15 per cent of the 
wages and salaries paid to a software develope r during the tax year. The tax concession can be 
claimed during the tax year and the following three tax years in equal instalments.  
 
 The tax benefit accounted for HUF 0.3 billion.  8. Duration of the subsidy 
 
 This tax concession was introduced in 2006. No expl icit time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   9. Preferential Tax Rate 
1. Title of the subsidy programme 
 
 Preferential tax rate.   
2. Period covered by the notification 
 
 2009. G/SCM/N/220/EEC/Add.12 
Page 12   
  3. Policy objective and/or purpose of the subsidy 
 
 The programme is intended to reduce tax burden for smaller companies.   4. Background and authority for the subsidy 
  This tax benefit is provided for by Section 19, paragraphs (2)-(6) of Act LXXXI of 1996 on 
the Corporate Tax and Dividend Tax.   5. Form of the subsidy 
  The subsidy is in the form of reduced corporate tax rate.   6. To whom and how the subsidy is provided 
 
 For the preferential tax rate, the taxpayer can not make use of any tax incentives, it must 
employ at least one employee in the tax year and it has to pay social security contributions with 
respect to each of its employees in an amount which equals at least 2 times the contributions payable 
on the minimum wage (in disadvantaged regions  only up to the amount payable on the minimum 
wage), it has to pay corporate income tax at l east on the basis of minimum income/tax base and it 
must fulfil legal requirements related to the employment. 
 
7. Subsidy per unit or the total amount 
  A preferential tax rate of 10 per cent is appli cable to the part of the tax base which does not 
exceed 50 million HUF, while any excess profits are taxable at the general 16 per cent rate.  
 
 The tax benefit accounted for HUF 3.1 billion.   8. Duration of the subsidy 
  This regime was introduced in 2006. No exp licit time limit is attached to this subsidy.  
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.    10. Tax Relief for Research and Development 
1. Title of the subsidy programme 
 
 Tax relief for research and development.   2. Period covered by the notification 
  2009.  3. Policy objective and/or purpose of the subsidy 
 
 The objective of this scheme is to promote the R&D activity.  
  G/SCM/N/220/EEC/Add.12 
 Page 13 
 
 
  4. Background and authority for the subsidy 
 
 The tax relief is provided for by Section 7, paragraph (1), subparagraph t), and paragraphs 
(17) and (18) of Act LXXXI of 1996 on  the Corporate Tax and Dividend Tax.  
 
5. Form of the subsidy 
 
 This subsidy is in the form of deduction from the corporate tax base.  
 6. To whom and how the subsidy is provided 
  The direct cost of basic research, applied research and experimental development claimed in the tax year in which it is incurred can be deducted from the tax base.    Taxpayers having written contract for common basic research, applied research or 
experimental development projects with a research  institution founded by an institution of higher 
education and/or the Hungarian Academy of Sciences may claim three times the general tax relief, or 
maximum 50 million HUF.   7. Subsidy per unit or the total amount 
 
 The tax relief is equal to the direct costs of basic research, applied research and experimental 
development incurred. Any support or assistance re ceived for development purposes cannot be taken 
into account.    The tax benefit accounted for HUF 19.5 billion. 
 
8. Duration of the subsidy 
  This tax relief was introduced in 1997. No explic it time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   
11. Tax Concession for Film Production 
1. Title of the subsidy programme 
 
 Tax concession for film production.   2. Period covered by the notification 
  2009. 
 
3. Policy objective and/or purpose of the subsidy 
  The purpose of this tax concession is to stimulate film production.   
4. Background and authority for the subsidy 
 
 The tax concession is provided for by Section 22, paragraphs (1) and (3) of Act LXXXI of 
1996 on Corporate Tax and Dividend Tax.  G/SCM/N/220/EEC/Add.12 
Page 14   
  5. Form of the subsidy 
 
 The subsidy is in the form of deduction from the corporate tax.   6. To whom and how the subsidy is provided 
  Taxpayers sponsoring film productions.   7. Subsidy per unit or the total amount 
 
 The tax concession is equal to the amount dona ted for film production. The tax concession 
can be applied during four years.    The tax concession may be claimed up to 70 per cent of the corporate income tax otherwise payable.  
 
 The tax benefit accounted for HUF 4.6 billion.  8. Duration of the subsidy 
  This tax concession was introduced in 1 April 2004.  No explicit time limit is attached to this 
subsidy. 
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
12. Accelerated Depreciation for Small and Medium-sized Enterprises 
1. Title of the subsidy programme 
 
 Accelerated depreciation for small and medium-sized enterprises.   
2. Period covered by the notification 
 
 2009.  3. Policy objective and/or purpose of the subsidy 
  The objective of this scheme is to promote investment activities in underdeveloped regions.  
 4. Background and authority for the subsidy 
  This tax relief has been provided for by A nnex 1, point 14 of Act LXXXI of 1996 on the 
Corporate  
  Tax and Dividend Tax.   5. Form of the subsidy 
  This subsidy is in the form of deduction from the corporate tax base.  
  G/SCM/N/220/EEC/Add.12 
 Page 15 
 
 
  6. To whom and how the subsidy is provided 
 
 Small and medium-sized enterprises maki ng investments in underdeveloped regions.  
 7. Subsidy per unit or the total amount 
  Small and medium-sized enterprises may clai m 100 per cent depreciation on the value of 
machinery, equipment and vehicles (except passenger cars), which have never been used previously, 
if these tangible assets are used in most underprivileged regions.  
 The tax benefit accounted for HUF 0.2 billion. 
 8. Duration of the subsidy 
  This tax relief was introduced in 10 May 2005.  No explicit time limit is attached to this 
subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  13. Tax Relief for Capital Gains from Registered Shares 
1. Title of the subsidy programme 
 
 Tax relief for capital gains from registered shares.  
2. Period covered by the notification 
 
 2009.  3. Policy objective and/or purpose of the subsidy 
 
 The objective of this scheme is to promote the capital market. 
 4. Background and authority for the subsidy 
  The tax relief is provided for by Section 7, pa ragraph (1), subparagraph dz) of Act LXXXI of 
1996 on the Corporate Tax and Dividend Tax. 
 5. Form of the subsidy 
  This subsidy is in the form of deduction from the corporate tax base. 
 
6. To whom and how the subsidy is provided 
 
 Taxpayers transferring so-called registered shar es can enjoy this tax bene fit. This tax benefit 
can apply on shares which represent at least a 30 per cent participation in the capital of a legal person 
or business association lacking the legal status of a legal person established according to the 
Hungarian law and in any foreign person (other th an a controlled foreign company) provided that 
shares in question are registered at the tax authority.  G/SCM/N/220/EEC/Add.12 
Page 16   
  7. Subsidy per unit or the total amount 
 
 The tax relief is equal to the capital gains from the alienation of registered shares. For the tax 
benefit, the taxpayer must hold registered shares co ntinuously for more than one year prior to the 
transaction. 
 
 The tax benefit accounted for HUF 1.3 billion   8. Duration of the subsidy 
 
 This tax relief was introduced in 2007. No explic it time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
II. INNOVATION FUND FOR RESEARCH AND TECHNOLOGY 
1. Title of the subsidy programme 
 
 Innovation Fund for Research and Technology  
2. Period covered by the notification 
 
 2009.  3. Policy objective and/or purpose of the subsidy 
  The Fund is intended to improve the competitiveness and innovation performance of the Hungarian economy.  Its main objectives are:  
- to increase and concentrate the innovation ac tivity of the enterprises with the emphasis 
on utilisation of innovative, mark etable and competitive products; 
- to increase the regional innovation capacity; 
- to increase the cooperation between the rese arch and industrial production sphere by 
improving the conditions of innovation environment. 
4. Background and authority for the subsidy 
 
 Act XC. of 2003. on the Innovation Fund for R esearch and Technology (hereinafter: Act) 
Act CXXXIV of 2004 on Research, Development and Technological Innovation  5. Form of the subsidy 
  Grant 
 
6. To whom and how the subsidy is provided 
  Public and private research organisations, en terprises, SMEs, non-profit organisations and 
natural persons may receive subsidy. 
  G/SCM/N/220/EEC/Add.12 
 Page 17 
 
 
   Common projects conducted by companies in c onsortia with other applicants may also 
receive subsidy.   Support from the Fund may be received through open tender procedures for the purposes set in the Act.  
 
7. Subsidy per unit or the total amount 
  Payments under this programme amounted to HUF 43 billion.  
8. Duration of the subsidy 
 
 No explicit time limit is attached to the programme.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
III. BUDGETARY SCHEME EARMARKED FOR NATIONAL INVESTMENT 
PROMOTION 
1. Title of the subsidy programme 
 
 Budgetary scheme earmarked for National Investment Promotion 
 2. Period covered by the notification 
 
 2009 
 3. Policy objective and/or purpose of the subsidy 
  The scheme is designed to assist the realis ation of national economic and investment 
promotion policy objectives in compliance with Hunga ry's obligations under EU  law and international 
agreements by promoting i.a. 
 
- implementation of business projects, 
- establishment workplaces projects, 
- cooperation between enterprises, 
- initiation into the stock-exchange, 
- realisation of industrial parks and innovation centres, 
- realisation of logistic centres and services, 
- development of human resources, 
- enhancement of innovation and R+D, 
- establishment of market monitoring system etc. G/SCM/N/220/EEC/Add.12 
Page 18   
  4. Background and authority for the subsidy 
 
 Act on annual state budget, Decree 1/2001 (I.5. ) of the Minister for Economic Affairs, 
Decree 6/2008. (III.7.) of the Minister for Economy and Transport, Decree 28/2008. (XII.31.) of the 
Minister for National Development and Economy. 
 
5. Form of the subsidy 
  The subsidy can be provided for in the form of non-repayable subsidy, repayable subsidy, 
non-repayable interest subsidy, factoring fee subs idy, leasing fee subsidy,  guarantee fee subsidy, 
acquisition of ownership inter est in venture capital funds. 
 6. To whom and how the subsidy is provided 
  Domestic legal persons, economic corpora tions without legal personality, self-employed 
persons, cooperatives, professional as sociations, Chamber of Trade a nd Industry, natural persons of 
Hungarian citizenship, public benefit companies, local governments.  7. Subsidy per unit or the total amount 
  The total amount accounted for  HUF 214.530 million.  
 
8. Duration of the subsidy 
  This program may not be applied after 2010.   
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
IV. BUDGETARY SCHEME EARMARKED FOR INVESTMENT PROMOTION 
1. Title of the subsidy programme 
 
 Budgetary scheme earmarked for investment promotion  2. Period covered by the notification  
 
 2009 
 3. Policy objective and/or purpose of the subsidy 
  The scheme is designed to assist the realization of  strategic investment in manufacturing industry, creation of R+D investments, logistic centres and projects in touristic sector in compliance 
with Hungary's obligations under EU law and in ternational agreements by promoting i.a.: 
 
- enhancement of the international competitiveness, 
- acceleration of industrial restructuring, 
- development of technologies,  
- foreign direct investments of strategic investors  G/SCM/N/220/EEC/Add.12 
 Page 19 
 
 
  - creation of regional service centres 
- establishment of R+D investments 
- realization of investments in tourism sector 
- realisation of logistic centres and developmen t of their services, realisation of logistic 
service centres and capacities – in particul ar SMEs – supporting logistic activities 
4. Background and authority for the subsidy 
 
 Annual Act on state budget,  Decree 8/2007 (I. 24. ) of the Minister of Economy and Transport 
 5. Form of the subsidy 
  The subsidy is to be provided  in the form of grant  6. To whom and how the subsidy is provided 
 
 Domestic legal persons, economic corpora tions without legal personality, European 
companies, European cooperatives registered in Hungary.   Subsidy is awarded on the basis of the Govern ment decision. The upper limit of support is in 
accordance with the maximum aid intensity specified  in 85/2004. (IV 19) Government Decree. At 
least  40 per cent of the project cost should be financed from own source.  
 
7. Subsidy per unit or the total amount 
  The total amount accounted for HUF 12.462 million.  
8. Duration of the subsidy 
 
 No explicit time limit is attached to the programme.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
V. MINING CONVERSION PROGRAMME 
1. Title of the subsidy programme 
 
 Mining conversion programme 
 2. Period covered by the notification 
  2009  
3. Policy objective and/or purpose of the subsidy 
 
 Costs related to the rehabilitation of former co al mining sites, that is costs which arose at 
mines that do not have production activity any mo re ( mining damage, add itional underground safety G/SCM/N/220/EEC/Add.12 
Page 20   
  work resulting from the closure of production units), cost of paying social welfare benefits resulting 
from the pensioning-off of workers before  they reach statutory retirement.  
 4. Background and authority for the subsidy 
 
 Annual state budget, Decree 110/2009. (V. 22.) of the Government. 
 5. Form of the subsidy 
  Grant. 
 
6. To whom and how the subsidy is provided 
  Aid is granted by the government to specific mining companies on the basis of either the Act 
on State Budget or within its own discretionary power. 
 
7. Subsidy per unit or the total amount 
  The support accounted for HUF 1 billion.  8. Duration of the subsidy 
  No explicit time limit is attached to this programme.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
VI. BUDGETARY SCHEME EARMARKED FOR THE DEVELOPMENT OF SMALL 
AND MEDIUM SIZED ENTERPRISES 
1. Title of the subsidy programme 
 
 Budgetary scheme earmarked for the developm ent of small and medium sized enterprises. 
 2. Period covered by the notification 
  2009 
 
3. Policy objective and / or purpose of the subsidy 
  The scheme is designed to help SMEs over come disadvantages inherent in their size. 
 4. Background and authority for the subsidy 
  The subsidy is provided for by the Act XXXI V of 2004 on the Small and Medium Sized 
Enterprises and on the Support of their Developmen t, the acts on annual state budgets, the Decree 
19/2004. (II. 27.) of the Minister for Economy and Transport and the Decree 19/2008. (X. 8.) of the Minister for National Development and Economy on the management and us e of certain budgetary 
schemes of the Ministry. 
  G/SCM/N/220/EEC/Add.12 
 Page 21 
 
 
  5. Form of the subsidy 
 
 The support can be provided for in the form of non-repayable subsidy, repayable subsidy, 
non-repayable interest subsidy, factoring fee subs idy, leasing fee subsidy,  guarantee fee subsidy, 
acquisition of ownership inter est in venture capital funds. 
 
6. To whom and how the subsidy is provided 
  All kinds of subsidy are awarde d through tender procedures, targeted directly or indirectly to 
micro, small or medium-sized enterprises (SMEs). 
Support may be granted for programmes whose purpose is i.a. 
 
- to help SMEs managing liquidity and financing working capital  
- to attain entrepreneurial know ledge, to develop entrepreneur ial culture and managerial 
qualities, 
- to improve competitiveness of SMEs empl oying gipsy (Roma) people or owned by 
gipsies through technological development,  
 The upper limit of support through tender pro cedures is specified in the call for tender.  
 7. Subsidy per unit or the total amount 
 
 The total amount accounted for HUF 3,328.5 million. 
 8. Duration of the subsidy 
  This program may not be applied after 2010. 
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
VII. SUBSIDY FOR JOB-CREATION 
1. Title of the subsidy programme  
 
 Labour Market Fund  2. Period covered by the notification 
  2009  3. Policy objective and / or purpose of the subsidy  
  Promoting creation of new jobs through investments 
 
4. Background and authority for the subsidy 
  The subsidy is provided for by 18. § of the Act IV of 1991 on Job Assistance and Unemployment Benefits and the 18. § of the Decree 6/1996. (VII. 16.) of the Minister for 
Employment on employment subsidies and subsidy for crisis management. G/SCM/N/220/EEC/Add.12 
Page 22   
  5. Form of the subsidy 
 
 Non-reimbursable subsidy  6. To whom and how the subsidy is provided 
  All kinds of subsidy are awarded through te nder procedures. At least 25 per cent of the 
expenditure of investment must be financed from own source.   Support may be granted for those employers who create new jobs, connected to investment. 
Support may be granted for those employers who undertake to  
 
- realize the investment in a year after its initiation, 
- sustain and operate capacities and services pr oduced by the investment continuously at 
least for 5 years in accordance of the origin al purpose (for SMEs at least for 3 years) 
and 
- maintain the employee number indicated in the application at least 3 years after hiring 
them (for SMEs at least for 2 years). 
 The subsidy may not be in excess of 25- 50 per cent of the programme's total costs depending 
on the regional classification. This upper limit can be increased by 20% for small enterprises, and by 
10% for medium sized enterprises. 
 
7. Subsidy per unit or the total amount  
 
 The total amount accounted for HUF 1,500 million.  
8. Duration of the subsidy 
 
 No explicit time limit is attached to this program.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
VIII.  CO-FINANCED SUBSIDY PROGRAMMES 
1. Economic Development Operational Programme (EDOP) 
1. Title of the subsidy programme 
 
 Economic Development Operational Programme  2. Period covered by the notification 
  2009. 
 
3. Policy objective and/or purpose of the subsidy 
  Overall objectives:   G/SCM/N/220/EEC/Add.12 
 Page 23 
 
 
   The main objective of the programme is to en courage the permanent growth of the Hungarian 
economy, by strengthening the competitiveness of the production sector and the permanent growth 
factors.   To create a base for the growth of the H ungarian economy, the following four specific 
objectives have been defined:  
 
- increase R & D and innovation capacity, activity, as well as cooperation ; 
- complex development of corporate capacities; 
- development of the business environment; 
- facilitate SMEs' access to financing resources. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF, ESF and CF subsidies a nd responsible institutio ns in the 2007-2013 
programming period.   5. Form of the subsidy 
 
 The subsidy is in the form of repayable and non-repayable subsidy. Repayable subsidies are 
granted from credit, guarantee and venture capital SME programmes.  6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be receive d through open tender procedures.  
 
 Majority of repayable schemes are provide d through financial intermediate bodies.  
  The typical subsidy may not be in excess of  37 per cent of the total eligible costs. 
  The average contribution of the Hungarian government was around 4%. 
 
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 8.4 billion.  
8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015.  G/SCM/N/220/EEC/Add.12 
Page 24   
  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   
 
2. Environment and Energy Operational Programme (EEOP) 
1. Title of the subsidy programme 
 
 Environment and Energy Operational Programme  2. Period covered by the notification 
  2009  3. Policy objective and/or purpose of the subsidy 
 
 The developments identified in the Envir onment and Energy Operational Programme are 
intended to mitigate our country's environmental pr oblems, thus improving the quality of life of our 
society and promoting the adaptation of th e economy to the environmental processes. 
 
- Creation and maintenance of an environment suitable for living in  
- Protection and conservation of our assets 
- Prevention, economy, energy efficiency 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   5. Form of the subsidy 
 
 The subsidy is granted from non-repayable support schemes. 
 6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project.  The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be recei ved through open tender procedures 
  The typical subsidy may not be in excess of  59 per cent of the total eligible costs. 
 
 The average contribution of the Hungarian government was around 7%.   G/SCM/N/220/EEC/Add.12 
 Page 25 
 
 
  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.6 billion.  
8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
3. Social Renewal Operational Programme ( SROP) 
1. Title of the subsidy programme 
 
 Social Renewal Operational Programme  2. Period covered by the notification 
  2009. 
 
3. Policy objective and/or purpose of the subsidy 
  The overall objective of the SROP  is to increase labour market participation. The SROP  
contributes to the achievement of the expansion of employment and the promotion of permanent 
growth (the overall objectives of the NHDP) primar ily through the development of human resources 
and by measures aimed at the supply side of the labour market. The possibilities inherent in available labour supply cannot be exploited unless job-seek ing increases, labour market and social 
discrimination decreases, the harmony between qualif ications, skills sought  and supplied improve, 
and the proportion of healthy labour force grows owi ng to the development of health culture. The road 
to enhanced employment leads through increasing activity.  
 
 The above described objective is to be achieve d with the improvement of the quality of the 
human resources primarily with the help of employment, education and training, the social field, health care, culture and general educati on, and anti-discrimination instruments. 
 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period  
 5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes. 
 
6. To whom and how the subsidy is provided 
 G/SCM/N/220/EEC/Add.12 
Page 26   
   Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedur es - and through the 
selection of key projects - for the pur poses set in the application calls. 
  Typically the subsidy may not be in excess of 94% per cent of the project's total eligible costs. 
The average contribution of the Hungarian government was around 11%.  
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.4 billion.  
8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
4. Transport Operational Programme ( TOP) 
1. Title of the subsidy programme 
 
 Transport Operational Programme 
 2. Period covered by the notification 
  2009  
3. Policy objective and/or purpose of the subsidy 
 
 The comprehensive objective of transport de velopments is to improve accessibility with a 
view to increasing global and regional compe titiveness and strengthening socio-economic and 
territorial cohesion. It is inte nded to improve the alternative  accessibility of regions and the 
accessibility of economic and business centres by enabling  the linking of the various modes of 
transport.  
  In the field of transport development six prio rity axes have been determined to serve the 
above objectives:   
 Improving the international road accessibilit y of the country and the regional centres.  This 
priority involves the development, modernisation of the trans-European road transport corridors 
(TEN-T).  
  Improving the international railway and wa terway accessibility of the country and the 
regional centres. The aim of this priority is to deve lop the Hungarian railway lines that constitute part 
of the trans-European railway network (TEN).   G/SCM/N/220/EEC/Add.12 
 Page 27 
 
 
   Improving regional accessibility  This priority targets the development of the main road 
network (1-, 2- and 3-digit roads) impr oving the accessibility within the region.  
  Linking the modes of transport and improving the intermodality and the transport infrastructure of the economic centres. 
 
 Improving urban and subur ban public transport. 
  Technical assistance . 
 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes. 
 
6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules. 
  Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.   Typically the subsidy may not be in excess of 100 per cent of the project's total eligible costs. 
The average contribution of the Hungarian government was around 12%. 
 7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 13.6 billion. 
 8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
5. Electronic Public Administration Operational Programme ( EPAOP) 
1. Title of the subsidy programme 
 
 Electronic Public Administration Operational Programme  G/SCM/N/220/EEC/Add.12 
Page 28   
  2. Period covered by the notification 
 
 2009  3. Policy objective and/or purpose of the subsidy 
  The overall strategic objective of the operationa l programme is to improve efficiency in 
public administration. By the reorganisation and simplification of the government processes and their subsequent support by means of info-communication it is intended to make the operation of the state 
more efficient, and provide the same amount of ser vices with the use of less resource. The operational 
programme includes the modernisation of th e procedures, processes and services of public 
administration and the judiciary system with the use of info-communication technology, as well as the 
interventions aimed at the identification of the clients as a common element of all public services provided by info-communication devices.  
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF, ESF and CF subsidies a nd responsible institutio ns in the 2007-2013 
programming period  
 5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes. 
 
6. To whom and how the subsidy is provided 
  Central administrative bodies; Territorial ag encies of the central administrative bodies; 
Territorial self-governments; Municipalities; Micro-regional associations; Companies in state ownership; NGOs fulfilling the tasks of the state; Court, Prosecution and Defence public bodies with 
eligible development projects may receive support for the accomplishment of the project. The support 
schemes must be in line with the OP aims and the EU state aid rules. 
  Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls. 
 
 Typically the subsidy may not be in excess of 100 per cent of the project's total eligible costs. 
The average contribution of the Hungarian government was around 12%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.6 billion.  8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015. 
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  G/SCM/N/220/EEC/Add.12 
 Page 29 
 
 
   
6. South Great Plain Operational Programme (SGPOP)  
1. Title of the subsidy programme 
 
 South Great Plain Operational Programme 
 
2. Period covered by the notification 
  2009.  
3. Policy objective and/or purpose of the subsidy 
 
 The overall objective for the South Great Plain Region is to ensure sustainable growth and 
increased employment as well as to redress regional imbalances. Based on comparative territorial advantages, the specific objectives of the development programme are the following: 
 
- Improving and increasing the competitiveness of the regional economy, promotion of 
change in economic structure based on innovation 
- Improvement of municipal and environm ental conditions which determine living 
conditions for the population, in order to boost regional cohesion 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period  
 5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes.  
6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules. 
 
 Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.   The typical subsidy may not be in excess of 48 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 
6%. 
 7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.6 billion. 
 G/SCM/N/220/EEC/Add.12 
Page 30   
  8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
7. South Transdanubia Operational Programme (STDOP)  
1. Title of the subsidy programme 
 
 South Transdanubia Operational Programme  2. Period covered by the notification 
 
 2009 
 3. Policy objective and/or purpose of the subsidy 
  The overall long term objective of the South Transdanubia Operational Programme (until 
2020) is the South Transdanubia region's converg ence to the country's more developed areas. 
Accordingly, the strategic objective of this progra mme (until 2013) is to stop the South Transdanubia 
region's falling behind, in other words to keep the region on the nation's growth path for the sake of a 
convergence process to be launched subsequently. Th ree specific objectives were determined for the 
sake of accomplishing the strategic objective:  
- Protection of the natural and built environment in the Region 
- Competitive economy based on local characteristics 
- To stop the increase of social differences within the region 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period.   
5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes.  6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.  G/SCM/N/220/EEC/Add.12 
 Page 31 
 
 
   
 The typical subsidy may not be in excess of 47 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 6%.  
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.6 billion.  
8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
8. North Great Plain Operational Programme (NGPOP)  
1. Title of the subsidy programme 
 
 North Great Plain Operational Programme 
 2. Period covered by the notification 
  2009 
 
3. Policy objective and/or purpose of the subsidy 
  The NOGPOP sets the following long-term overall objective:   Based on the natural and social heritage and the characteristics of the settlement network of 
the North Great Plain Region, to strengthen re gional competitiveness and redress territorial 
imbalances within the region.   Accordingly, the strategic objective of this programme is preventing the North Great Plain Region from falling behind; i.e. keeping the region on a national growth trajectory in order that a 
process of convergence may later begin. 
  In order for the strategic objective to be ach ieved, three specific objectives have been set: 
 
- Strengthening the region's SME sector 
- Improving the income generating ability of tourism 
- Improving the population's mobility 
- Developing the region's human resources 
- Improving the environmental status of the built and natural environment G/SCM/N/220/EEC/Add.12 
Page 32   
  4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes. 
 6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.  
 The typical subsidy may not be in excess of 51 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 6%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.6 billion.  8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015. 
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  9. North Hungary Operational Programme (NHOP)  
1. Title of the subsidy programme 
 
 North Hungary Operational Programme  2. Period covered by the notification 
  2009  3. Policy objective and/or purpose of the subsidy 
 
 The overall objective of the programme is: 
  To improve the economic competitiveness of th e region while decreasing territorial and 
social-economic differences within the region.  G/SCM/N/220/EEC/Add.12 
 Page 33 
 
 
   The programme formulates the following specific objectives for the period 2007-2013: 
 
- To improve competitiveness of the economy making use of local resources, 
cooperation; 
- Improving the capacity of tourism to produce income 
- To enhance social cohesion and to devel op an attracting econom ic and residential 
environment. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 Ju ly 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree  255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidi es and responsible institutio ns in the 2007-2013 
programming period  
 5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes.  6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls. 
  The typical subsidy may not be in excess of 45 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 5%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.5 billion.  8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
10. Central Transdanubia Operational Programme (CTDOP)  
1. Title of the subsidy programme 
 
 Central Transdanubia Operational Programme 
 G/SCM/N/220/EEC/Add.12 
Page 34   
  2. Period covered by the notification 
 
 2009  3. Policy objective and/or purpose of the subsidy 
  An overall objective of CETOP is to ensure th at, making an efficient use of socio-economic 
innovation and relying on on-going revival efforts,  the Central Transdanubia Region maintains its 
outstanding economic positi on and revenue-generation ab ility among Hungarian regions. 
 
 Achievement of this overall objective is prom oted by four specific development goals as 
follows: 
- Create an innovative and competitive economic environment 
- Improve the tourist potential of the Region 
- Sustainable development of the se ttlement network in the Region 
- Amplify regional cohesion through invest ments in environment, and transport 
infrastructure 
- Establish efficient and renewabl e human infrastructure background 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   
5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes.  6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls. 
  The typical subsidy may not be in excess of 43 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 5%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.2 billion.   G/SCM/N/220/EEC/Add.12 
 Page 35 
 
 
  8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
11. Central Hungary Operational Programme (CHOP)  
1. Title of the subsidy programme 
 
 Central Hungary Operational Programme  2. Period covered by the notification 
 
 2009. 
 3. Policy objective and/or purpose of the subsidy 
  The overall objective of the operational prog ramme is to improve the international 
competitiveness of the Central Hungary Region, observi ng the principle of sustainable development.  
 
 With an eye to achieving the overall objectiv e, two specific objectives have been set:  
 
- to develop factors influencing the Region's competitiveness 
- to develop the Region's internal cohesion a nd the harmony of its spatial structure. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period  
 5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes. 
 
6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules. 
 
 Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.   The typical subsidy may not be in excess of 39 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 5%. 
 G/SCM/N/220/EEC/Add.12 
Page 36   
  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 2.3 billion.  
8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
12. West Pannon Operational Programme (WPOP)  
1. Title of the subsidy programme 
 
 West Pannon Operational Programme  2. Period covered by the notification 
  2009 
 
3. Policy objective and/or purpose of the subsidy 
  Overall objective of the OP: to establish an eco nomic and public service infrastructure in line 
with the regional environment through environmenta lly consciously planned development in order to 
promote growth and employment.  
  Five specific development objectives support this overall objective:  
- Economy built on local innovative r esources and corporate networks 
- Tourism based on high quality ser vices and leveraging heritage 
- Network of towns comprised of liveable towns providing efficient support for regional 
centres 
- High quality environment and safe access to regional centres and sub-centres 
- Infrastructure supporting public services based on the local environment 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period  
 
5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes.  G/SCM/N/220/EEC/Add.12 
 Page 37 
 
 
  6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules. 
 
 Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.   The typical subsidy may not be in excess of 40 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 5%. 
 7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.2 billion. 
 8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
13. Central Europe Programme 
1. Title of the subsidy programme 
 
 Central Europe Programme  2. Period covered by the notification 
 
 2009. 
 3. Policy objective and/or purpose of the subsidy 
  The programme is implemented under the tran snational cooperation strand of the European 
Territorial Cooperation objective, enabling coope ration between beneficiaries from regions from 8 
Member States and one permanent observer, the Ukraine. The main goal of the programme is 
strengthening territorial cohesion, promoting intern al integration and enhancing the competitiveness 
of Central Europe. The programme comprises the following priorities:  
- Priority 1: Facilitating Innovation across Central Europe; 
- Priority 2: Improving Accessibility of and within Central Europe; 
- Priority 3: Using our Environment Responsibly; 
- Priority 4: Enhancing Competitiveness a nd Attractiveness of Cities and Regions; 
- Priority 5: Technical assistance. G/SCM/N/220/EEC/Add.12 
Page 38   
  4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999; 
 
 Regulation (EC) No 1080/2006 of the European Pa rliament and of the Council of 5 July 2006 
on the European Regional Development Fund an d repealing Regulation (EC) No 1783/1999; 
Government Decree No 160/2009 (VIII. 3.) on the im plementation of certain programmes related to 
European territorial cooperation, funded by the European Regional Development Fund and the 
Instrument for Pre-Accession in the programming period 2007-2013. 
 5. Form of the subsidy 
  The subsidy is provided in the form of non-repayable subsidy. 
 
6. To whom and how the subsidy is provided 
  Subsidy in the framework of the programme (unde r priorities 1-4) is provided to transnational 
partnerships that may comprise private and pu blic bodies as well as bodies that qualify as body 
governed by public law (as per Directive 2004/18/EC). 
 
 The rate of national state co-financing is dete rmined taking into account of the status of the 
Hungarian partner and may not exceed 15%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government for priorities other than Technical Assistance) 
 
 The total amount paid was EUR 60,717.86.  8. Duration of the subsidy 
 
 From 2007 to 2015. 
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N/A. 
 
14. Agriculture and Rural Development Operational Programme 
1. Title of the subsidy programme 
 
 Agriculture and Rural Developmen t Operational Programme 2004-2006 
 
2.  Period covered by the notification 
 
 2009  3. Policy objective and/or purpose of the subsidy 
  Development of rural areas is focused on th e modernisation of existing production capacities 
and the setting up of new production assets that are adju sted to the size and structure of production, 
made up by viable enterprises. As a prerequisite , environment protection and environmentally sound  G/SCM/N/220/EEC/Add.12 
 Page 39 
 
 
  production procedures and the widespread appli cation of quality, food safety and hygiene 
prescriptions are connected to these developments . On the other hand, assisting the reduction of 
regional differences is important for the improveme nt of the living, i.e. sustenance (employment) 
conditions of the rural population and the elevation of the extremely low rural employment ratio. 
 
4. Background and authority for the subsidy  
 
 Background: Council Regulation (EC) No 1260/1999 of 21 June 1999 laying down general 
provisions on the Structural Funds, Joint Minist erial Decree 14/2004. (VIII. 13) on the general rules 
of the use of the structural funds and the Cohesion Fund 
 
5. Form of the subsidy (i.e., grant, loan, tax concession, etc.) 
  The subsidy is in the form of non-repayable support schemes.  
6. To whom and how the subsidy is provided  
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.  
 Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.  7. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount 
budgeted for that subsidy  
 
 The total amount paid by the national budget accounted for HUF 354 million (EUR 1.3 million).  8. Duration of the subsidy and/or any other time limits attached to it, including date of 
inception/commencement 
 
 These grant schemes may not be applied after the year 2009.   Note: Due to the financial crisis in 2008, in its letter of 12 December, 2008 the European 
Commission offered the possibility to the Member St ates to postpone the final date for eligibility for 
operational programmes of 2000-2006 (2004-2006) - and as such also for the ARDOP - from 
31 December 2008 to 30 June 2009. In accordance with  the Art. 30(2) and 14(2) of Regulation (EC) 
No 1260/1999 the Commission made it possible for th e Member States to alter the financial closure 
date accordingly, consequently to change the final date for closure of the programmes to 
30 September 2010.   
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.    
_______________ G/SCM/N/220/EEC/Add.12 
Page 40   
  HUNGARY 2010 
I. CORPORATE TAX CONCESSIONS TO ASSIST STRUCTURAL ADJUSTMENT 
AND ECONOMIC DEVELOPMENT  
1. Tax Concession for Investment s Exceeding 3 Billion HUF 
1. Title of the subsidy programme 
 
 Tax concession for investments exceeding 3 billion HUF.  2. Period covered by the notification 
 
 2010. 
 3. Policy objective and/or purpose of the subsidy 
  The purpose of this tax concession is to stim ulate investments in underdeveloped regions 
from a social-economic point of view and/or in c ounties having unemployment rate higher than 15 per 
cent.  4. Background and authority for the subsidy 
  This tax benefit is provided for by Secti on 21 of the Act LXXXI of 1996 on the Corporate 
Tax and Dividend Tax.  
 5. Form of the subsidy 
  The subsidy is in the form of deduction from the corporate tax.  
 
6. To whom and how the subsidy is provided 
  Companies with head office or premises registered in a socially-economically 
underdeveloped region and/or in a county where the unemployment rate exceeds 15 per cent, and after 
31 December 1996 began an investment of at least  3 billion HUF for the production of goods may 
receive a tax concession in a ten year period following the project's start up.  
  The above tax benefit can only be applied fo r from the second taxation year and thereafter if 
the annual average number of the staff employed exceeds by at least 100 persons the average number 
of the staff employed in the year preceding the start up.  
 
 The tax concession equals to the ratio of sal es revenue from manufacturing operations to the 
total sales revenue.    This tax concession cannot be applied to projects commencing subsequent to 
31 December 2002.  
 
7. Subsidy per unit or the total amount 
  The amount of tax benefit is not yet available.   G/SCM/N/220/EEC/Add.12 
 Page 41 
 
 
  8. Duration of the subsidy 
 
 This tax concession may not be applied after the year 2011.   9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
2. Tax Concession for Investments Exceeding 10 Billion HUF 
1. Title of the subsidy programme 
 
 Tax concession for investments exceeding 10 billion HUF.   2. Period covered by the notification 
 
 2010. 
 3. Policy objective and/or purpose of the subsidy 
  The purpose of this tax benefit is  to promote large investments.  
 
4. Background and authority for the subsidy 
 
 This tax benefit is provided for by Secti on 21 of Act LXXXI of 1996 on the Corporate Tax 
and Dividend Tax.   
5. Form of the subsidy 
 
 The subsidy is in the form of deduction from the corporate tax.   6. To whom and how the subsidy is provided 
 
 Companies that began after 31 December 1996 an investment of at least 10 billion HUF 
destined for the production of goods may receive a 100 per cent tax concession in a ten year period 
following the project's start up.    The above tax benefit can only be applied fo r if the annual average number of the staff 
employed exceeds by at least 500 persons the average number of the staff employed in the year 
preceding the start up.   This tax concession cannot be applied to projects commencing subsequent to 
31 December 2002.   
7. Subsidy per unit or the total amount 
 
 The amount of tax benefit is not yet available.  8. Duration of the subsidy 
  This tax concession may not be applied after the year 2011.  G/SCM/N/220/EEC/Add.12 
Page 42   
  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
 
3. Tax Relief for Projects of Small and Medium Enterprises 
1. Title of the subsidy programme 
 
 Tax relief for projects of small and medium enterprises.   2. Period covered by the notification 
  2010.  3. Policy objective and/or purpose of the subsidy 
 
 The objective of this scheme is to promot e investment activities of small and medium 
enterprises.   4. Background and authority for the subsidy 
  The tax relief is provided for by Section 7, pa ragraph (1), subparagraph zs) of Act LXXXI of 
1996 on the Corporate Tax and Dividend Tax.  
 5. Form of the subsidy 
  This subsidy is in the form of deduction from the corporate tax base.  
 
6. To whom and how the subsidy is provided 
  Investing small and medium enterprises, provi ded all of their members were private natural 
persons in the tax year.   
7. Subsidy per unit or the total amount 
 
 The tax relief is equal to the total amount of th e project costs, but may not be higher than the 
pre-tax profit or 30 million HUF.   
 The amount of tax benefit is not yet available. 
 8. Duration of the subsidy 
  This tax relief was introduced in 2001. No explic it time limit is attached to this subsidy.  
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
 
4. Tax Concession for Small and Medium Sized Enterprises 
1. Title of the subsidy programme 
 
 Tax concession for small and medium sized enterprises.   G/SCM/N/220/EEC/Add.12 
 Page 43 
 
 
  2. Period covered by the notification 
 
 2010.  3. Policy objective and/or purpose of the subsidy 
  The purpose of this tax concession is to stimulate investment activities of small and medium-sized enterprises.   4. Background and authority for the subsidy 
  The tax concession is provided for by Secti on 22/A of Act LXXXI of 1996 on Corporate Tax 
and Dividend Tax.   5. Form of the subsidy 
  The subsidy is in the form of deduction from the corporate tax.   6. To whom and how the subsidy is provided 
  Small and medium-sized enterprises financing their investments by bank loans.  
 
7. Subsidy per unit or the total amount 
  The tax concession is equal to 40 per cent of the interest paid on bank loans during the tax year. The concession may not be in excess of 6 million HUF per year.  
 
 The amount of tax benefit is not yet available.  8. Duration of the subsidy 
  This tax concession was introduced in 2001. No expl icit time limit is attached to this subsidy.  
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   5. Tax Concession Related to Development Projects 
1. Title of the subsidy programme 
 
 Tax concession related to development projects.   2. Period covered by the notification 
  2010.  3. Policy objective and/or purpose of the subsidy 
 
 The objective of this scheme is to  stimulate investment activities.  
 G/SCM/N/220/EEC/Add.12 
Page 44   
  4. Background and authority for the subsidy 
 
 This tax concession has been provided for by Section 22/B of Act LXXXI of 1996 on the Corporate Tax and Dividend Tax.   
5. Form of the subsidy 
 
 The subsidy is in the form of deduction from the corporate tax.   6. To whom and how the subsidy is provided 
  Tax concession is granted to a taxpayer whose development project enta ils an investment of 
at least 3 billion HUF or 1 billion HUF if the project is started and operated in preferable regions. The 
tax concession can be applied in the four years fo llowing the first year in which the tax concession is 
used if:  
 
(a) the average work force empl oyed exceeds the average number of persons employed 
during the year prior to the commencement of  the project by at least 150 workers - or 
75 workers if the project is started a nd operated in preferable regions, or 
(b) if the taxpayer's annualized wage costs are at least 600 times greater than the amount 
of the minimum wage effective on the first day of the tax year as calculated for the 
tax year - or at least 300 times greater if  the project is launched and operated in 
preferable regions - as compared to the a nnualized wage costs of the year preceding 
the year in which the project commenced. 
 Tax concession is granted for:  
 
(a) development projects with a value of at  least 100 million HUF, if it constitutes the 
launch and operation of an independent environmental protection project or a 
wideband Internet service or a food facility project or a basic research, applied research and experimental development or  a motion picture and video production 
project, 
(b) development projects with a value of at least 100 million HUF, if these projects have 
been financed by newly i ssued shares and the relevant joint-stock company is 
registered at the stock exchange, 
(c) projects serving to create new jobs.  
7. Subsidy per unit or the total amount 
 
 The support granted to a specific developmen t project may not be higher than the amount 
computed by the ratio stipulated in the legi slation from the total cost of the project. 
  The tax concession may be claimed up to 80 per cent of the corporate income tax otherwise payable.   
 The amount of tax benefit is not yet available. 
 8. Duration of the subsidy 
  The tax concession may be applied for ten years.   G/SCM/N/220/EEC/Add.12 
 Page 45 
 
 
  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
 
6. Tax Relief for Employment 
1. Title of the subsidy programme 
 
 Tax relief for employment.   2. Period covered by the notification 
  2010.  3. Policy objective and/or purpose of the subsidy 
 
 The objective of this scheme is to promote employment.  
 4. Background and authority for the subsidy 
  This tax relief has been provided for by S ection 7, paragraph (1), subparagraph y) of 
Act LXXXI of 1996 on the Corporate Tax and Dividend Tax.  
 
5. Form of the subsidy 
  This subsidy is in the form of deduction from the corporate tax base.  
 
6. To whom and how the subsidy is provided 
  
 Micro enterprises with no more than five employees.   7. Subsidy per unit or the total amount 
 
 The tax relief is equal to the sum recei ved by multiplying the minimum wage by any 
increment in the average number of employees in comp arison to the previous tax year. This tax relief 
can be applied if the taxpayer has no tax debts.    The amount of tax benefit is not yet available. 
 
8. Duration of the subsidy 
  This tax relief was introduced in 2005. No explic it time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
 
7. Tax Concession for Software Developers 
1. Title of the subsidy programme 
 
 Tax concession for software developers.   G/SCM/N/220/EEC/Add.12 
Page 46   
  2. Period covered by the notification 
 
 2010.  3. Policy objective and/or purpose of the subsidy 
  The objective of this scheme is to stimulate the employment of software developers in small and medium-sized enterprises.   4. Background and authority for the subsidy 
  This tax concession has been provided for by Section 22, paragraph ( 10) of Act LXXXI of 
1996 on the Corporate Tax and Dividend Tax.   5.  Form of the subsidy 
  The subsidy is in the form of deduction from the corporate tax.   6. To whom and how the subsidy is provided 
  Small and medium-sized enterprises employing software developers.  
 
7. Subsidy per unit or the total amount 
  Small and medium-sized enterprises are entitle d to a tax concession of  15 per cent of the 
wages and salaries paid to a software develope r during the tax year. The tax concession can be 
claimed during the tax year and the following three tax years in equal instalments.  
  The amount of tax benefit is not yet available.  8. Duration of the subsidy 
 
 This tax concession was introduced in 2006. No expl icit time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   8. Preferential Tax Rate 
1. Title of the subsidy programme 
 
 Preferential tax rate.   
2. Period covered by the notification 
 
 2010.  3. Policy objective and/or purpose of the subsidy 
  The programme is intended to reduce tax burden for smaller companies.     G/SCM/N/220/EEC/Add.12 
 Page 47 
 
 
  4. Background and authority for the subsidy 
 
 This tax benefit is provided for by Section 19, paragraphs (2)-(6) of Act LXXXI of 1996 on 
the Corporate Tax and Dividend Tax.   
5. Form of the subsidy 
 
 The subsidy is in the form of reduced corporate tax rate.   6. To whom and how the subsidy is provided 
  For the preferential tax rate, the taxpayer can not make use of any tax incentives, it must 
employ at least one employee in the tax year, it has to  pay social security contributions with respect to 
each of its employees in an amount which equals at least 2 times the contributions payable on the minimum wage (in disadvantaged regions only up to the amount payable on the minimum wage), it 
has to pay corporate income tax at least on the b asis of minimum income/tax base and it must fulfil 
legal requirements related to the employment.   7. Subsidy per unit or the total amount 
  In determining the corporate tax liability for the 2010 tax year the positive tax base shall be 
divided on a pro-rata basis based on the calendar da ys of the tax year for the period between 1 January 
and 30 June 2010 and the period between 1 July and 31 December 2010. The corporate tax rate: 
 
(a) shall be 10 per cent of the positive tax base up to fifty million forints (under certain 
conditions) for the period between 1 January  2010 and 30 June 2 010, and 19 per cent 
for any sum above that limit; 
(b) shall be 10 per cent of the positive tax base up to two hundred and fifty million forints 
for the period between 1 July 2010 and 31 December 2010, and 19 per cent for any sum above that limit. 
 The amount of tax benefit is not yet available. 
 
8. Duration of the subsidy 
 
 This regime was introduced in 2006. No exp licit time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
9. Tax Relief for Research and Development 
1. Title of the subsidy programme 
 
 Tax relief for research and development.  
 2. Period covered by the notification 
  2010. 
 G/SCM/N/220/EEC/Add.12 
Page 48   
  3. Policy objective and/or purpose of the subsidy 
 
 The objective of this scheme is to promote the R&D activity.   4. Background and authority for the subsidy 
  The tax relief is provided for by Section 7, paragraph (1), subparagraph t), and 
paragraphs (17) and (18) of Act LXXXI of 1996 on the Corporate Tax and Dividend Tax.  
 5. Form of the subsidy 
  This subsidy is in the form of deduction from the corporate tax base.  
 6. To whom and how the subsidy is provided 
 
 The direct cost of basic research, applied research and experimental development carried out 
within the taxpayer's own scope of activities claimed in the tax year in which it is incurred can be 
deducted from the tax base.   Taxpayers (within their own scope of activ ities) having written contract for common basic 
research, applied research or experimental devel opment projects with a research institution founded 
by an institution of higher education and/or th e Hungarian Academy of Sciences may claim three 
times the general tax relief, or maximum 50 million HUF.   7. Subsidy per unit or the total amount 
 
 The tax relief is equal to the direct costs of basic research, applied research and experimental 
development incurred. Any support or assistance re ceived for development purposes cannot be taken 
into account.    The amount of tax benefit is not yet available.  
8. Duration of the subsidy 
 
 This tax relief was introduced in 1997. No explic it time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
 
10. Tax Concession for Film Production 
1. Title of the subsidy programme 
 
 Tax concession for film production and protection of performers' rights.  
 2. Period covered by the notification 
  2010. 
  G/SCM/N/220/EEC/Add.12 
 Page 49 
 
 
  3. Policy objective and/or purpose of the subsidy 
 
 The purpose of this tax concession is to s timulate film production and the protection of 
performers' rights.   
4. Background and authority for the subsidy 
 
 The tax concession is provided for by Section 22, paragraphs (1) and (3) of Act LXXXI of 
1996 on Corporate Tax and Dividend Tax.   
5. Form of the subsidy 
 
 The subsidy is in the form of deduction from the corporate tax.   6. To whom and how the subsidy is provided 
  Taxpayers sponsoring film prod uctions and/or associations for the protection of performers' 
rights.   7. Subsidy per unit or the total amount 
 
 The tax concession is equal to the amount dona ted for film production or for the association 
for the protection of performers' rights. The tax concession can be applied during four years.    The tax concession may be claimed up to 70 per cent of the corporate income tax otherwise payable. The total amount contained in the certificat es of entitlement for tax concession issued by the 
motion picture authority in connection with any pa rticular motion picture may not exceed 20 per cent 
of the direct production costs as approved by the motion picture authority.    The amount of tax benefit is not yet available.  8. Duration of the subsidy 
  This tax concession was introduced in 1 April 2004.  No explicit time limit is attached to this 
subsidy.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
11. Accelerated Depreciation for Small and Medium-sized Enterprises 
1. Title of the subsidy programme 
 
 Accelerated depreciation for small and medium-sized enterprises.  
 2. Period covered by the notification 
  2010. 
 
3. Policy objective and/or purpose of the subsidy 
  The objective of this scheme is to promote investment activities in underdeveloped regions.  G/SCM/N/220/EEC/Add.12 
Page 50   
  4. Background and authority for the subsidy 
 
 This tax relief has been provided for by A nnex 1, point 14 of Act LXXXI of 1996 on the 
Corporate Tax and Dividend Tax.   
5. Form of the subsidy 
 
 This subsidy is in the form of deduction from the corporate tax base.  
 6. To whom and how the subsidy is provided 
  Small and medium-sized enterprises maki ng investments in underdeveloped regions.  
 7. Subsidy per unit or the total amount 
 
 Small and medium-sized enterprises may clai m 100 per cent depreciation on the value of 
machinery, equipment and vehicles (except passenger cars), which have never been used previously, 
if these tangible assets are used in most underprivileged regions.   The amount of tax benefit is not yet available.  
8. Duration of the subsidy 
 
 This tax relief was introduced in 10 May 2005.  No explicit time limit is attached to this 
subsidy.   
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
12. Tax Relief for Capital Gains from Registered Shares 
1. Title of the subsidy programme 
 
 Tax relief for capital gains from registered shares.  2. Period covered by the notification 
 
 2010. 
 3. Policy objective and/or purpose of the subsidy 
  The objective of this scheme is to promote the capital market.  
4. Background and authority for the subsidy 
 
 The tax relief is provided for by Section 7, pa ragraph (1), subparagraph dz) of Act LXXXI of 
1996 on the Corporate Tax and Dividend Tax.  
5. Form of the subsidy 
 
 This subsidy is in the form of deduction from the corporate tax base.  G/SCM/N/220/EEC/Add.12 
 Page 51 
 
 
  6. To whom and how the subsidy is provided 
 
 Taxpayers transferring so-called registered shar es can enjoy this tax bene fit. This tax benefit 
can apply on shares which represent at least a 30 per cent participation in the capital of a legal person 
or business association lacking the legal status of a legal person established according to the 
Hungarian law and in any foreign person (other th an a controlled foreign company) provided that 
shares in question are registered at the tax authority.  7. Subsidy per unit or the total amount 
 
 The tax relief is equal to the capital gains from the alienation of registered shares. For the tax 
benefit, the taxpayer must hold registered shares co ntinuously for more than one year prior to the 
transaction.   The amount of tax benefit is not yet available. 
 
8. Duration of the subsidy 
  This tax relief was introduced in 2007. No explic it time limit is attached to this subsidy.  
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
II. RESEARCH AND TECHNICAL INNOVATION FUND 
1. Title of the subsidy programme 
 
 Innovation Fund for Research and Technology  2. Period covered by the notification 
  2010. 
 
3. Policy objective and/or purpose of the subsidy 
  The Fund is intended to improve the competitiveness and innovation performance of the Hungarian economy. Its main objectives are: 
 
- to increase and concentrate the innovation ac tivity of the enterprises with the emphasis 
on utilisation of innovative, mark etable and competitive products;  
- to increase the regional innovation capacity; 
- to increase the cooperation between the rese arch and industrial production sphere by 
improving the conditions of innovation environment.  
4. Background and authority for the subsidy 
 
Act XC of 2003 on Innovation Fund for Resear ch and Technology (hereinafter: Act) Act 
CXXXIV of 2004 on Research, Develo pment and Technological Innovation. 
 G/SCM/N/220/EEC/Add.12 
Page 52   
  5. Form of the subsidy 
 
 Grant  6. To whom and how the subsidy is provided 
  Public and private research organisations, en terprises, SMEs, non-profit organisations and 
natural persons may receive subsidy   Common projects conducted by companies in c onsortia with other applicants may also 
receive subsidy. 
  Support from the Fund may be received through open tender procedures for the purposes set in the Act.   
7. Subsidy per unit or the total amount 
 
 Payments under this programme amounted to HUF 23.7 billion.  8. Duration of the subsidy 
 
 No explicit time limit is attached to the programme. 
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
III. BUDGETARY SCHEME EARMARKED FOR NATIONAL INVESTMENT 
PROMOTION 
1. Title of the subsidy programme 
 
 Budgetary scheme earmarked for National Investment Promotion. 
 
2. Period covered by the notification  
  2010.  
3. Policy objective and/or purpose of the subsidy 
 
 The scheme is designed to assist the realis ation of national economic and investment 
promotion policy objectives in compliance with Hunga ry's obligations under EU  law and international 
agreements by promoting i.a.:  
- implementation of business projects, 
- enhancement of enterprises' competitiveness, 
- cooperation between enterprises, 
- initiation into the stock-exchange, 
- realisation of industrial parks and innovation centres,  G/SCM/N/220/EEC/Add.12 
 Page 53 
 
 
  - realisation of logistic centres and services, 
- development of human resources, 
- enhancement of innovation and R+D, 
- investment development by fortification of the country image, 
- establishment of market monitoring system etc. 
4. Background and authority for the subsidy 
 
 Act on annual state budget, Decree 1/2001 (I.5. ) of the Minister for Economic Affairs, 
Decree 6/2008. (III.7.) of the Minister for Economy and Transport, Decree 28/2008. (XII.31.) of the 
Minister for National Development and Economy. 
 
5. Form of the subsidy 
  The subsidy can be provided for in the form of non-repayable subsidy, repayable subsidy, 
non-repayable interest subsidy, factoring fee subs idy, leasing fee subsidy,  guarantee fee subsidy, 
acquisition of ownership inter est in venture capital funds. 
 6. To whom and how the subsidy is provided 
  Domestic legal persons, economic corpora tions without legal personality, self-employed 
persons, cooperatives, professional as sociations, Chamber of Trade a nd Industry, natural persons of 
Hungarian citizenship, public benefit companies, local governments. 
 7. Subsidy per unit or the total amount 
  The total amount accounted for  HUF 334,478 million.  
 
8. Duration of the subsidy 
  This program may not be applied after 2010.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
IV. BUDGETARY SCHEME EARMARKED FOR INVESTMENT PROMOTION 
1. Title of the subsidy programme 
 
 Budgetary scheme earmarked for investment promotion  2. Period covered by the notification  
  2010 
 G/SCM/N/220/EEC/Add.12 
Page 54   
  3. Policy objective and/or purpose of the subsidy 
 
 The scheme is designed to assist the realiza tion of strategic investment in manufacturing 
industry, creation of R+D investments, logistic centres and projects in touristic sector in compliance with Hungary's obligations under EU law and in ternational agreements by promoting i.a.: 
 
- enhancement of the international competitiveness, 
- acceleration of industrial restructuring, 
- development of technologies,  
- foreign direct investments of strategic investors 
- creation of regional service centres 
- establishment of R+D investments 
- realization of investments in tourism sector 
- realisation of logistic centres and development of their services, realisation of logistic 
service centres and capacities – in particul ar SMEs – supporting logistic activities 
4. Background and authority for the subsidy 
 
 Annual Act on state budget, Decree 8/2007 (I. 24 .) of the Minister of Economy and Transport 
 5. Form of the subsidy 
 
 The subsidy is be provided  in the form of grant 
 6. To whom and how the subsidy is provided 
  Domestic legal persons, economic corpora tions without legal personality, European 
Companies, European Cooperatives registered in Hungary. 
  Subsidy is awarded on the basis of the Govern ment decision. The upper limit of support is in 
accordance with the maximum aid intensity specified  in 85/2004. (IV 19) Government Decree. At 
least 40 per cent of the project cost should be financed from own source.   
7. Subsidy per unit or the total amount 
 
 The total amount accounted for HUF 7,459 million.  8. Duration of the subsidy 
  No explicit time limit is attached to the programme.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
  G/SCM/N/220/EEC/Add.12 
 Page 55 
 
 
  V. MINING CONVERSION PROGRAMME   
1. Title of the subsidy programme 
 
 Mining conversion programme  
2. Period covered by the notification 
 
 2010.  3. Policy objective and/or purpose of the subsidy 
  Costs related to the rehabilitation of former co al mining sites, that is costs which arose at 
mines that do not have production activity any mo re ( mining damage, add itional underground safety 
work resulting from the closure of production units), cost of paying social welfare benefits resulting 
from the pensioning-off of workers before  they reach statutory retirement.  
 
4. Background and authority for the subsidy 
  Annual state budget, Decree 20/2010. (II.9.) of the Government.  5. Form of the subsidy 
  Grant.  6. To whom and how the subsidy is provided 
 
 Aid is granted by the government to the state owned Mining Utilizatiopnspecific mining 
companies on the basis of either the Act on State Budget or within its own discretionary power. 
 7. Subsidy per unit or the total amount 
  The support accounted for HUF 1 billion. 
 
8. Duration of the subsidy 
  No explicit time limit is attached to this programme.  
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
VI. BUDGETARY SCHEME EARMARKED FOR THE DEVELOPMENT OF SMALL 
AND MEDIUM SIZED ENTERPRISES 
1. Title of the subsidy programme  
 
 Budgetary scheme earmarked for the developm ent of small and medium sized enterprises. 
 2. Period covered by the notification 
  2010.  G/SCM/N/220/EEC/Add.12 
Page 56   
  3. Policy objective and / or purpose of the subsidy  
 
 The scheme is designed to help SMEs over come disadvantages inherent in their size. 
 4. Background and authority for the subsidy 
  The subsidy is provided for by the Act XXXI V of 2004 on the Small and Medium Sized 
Enterprises and on the Support of their Devel opment, the acts on annual state budgets, the 
Decree 19/2004. (II. 27.) of the Minister for Econom y and Transport and the Decree 19/2008. (X. 8.) 
of the Minister for National Development and Economy on the management and use of certain 
budgetary schemes of the Ministry. 
 5. Form of the subsidy 
  The support can be provided for in the form of non-repayable subsidy, repayable subsidy, 
non-repayable interest subsidy, factoring fee subs idy, leasing fee subsidy,  guarantee fee subsidy, 
acquisition of ownership inter est in venture capital funds. 
 6. To whom and how the subsidy is provided 
  All kinds of subsidy are awarde d through tender procedures, targeted directly or indirectly to 
micro, small or medium-sized enterprises (SMEs). 
Support may be granted for programmes whose purpose is i.a.  
- to help SMEs managing liquidity and financing working capital  
- to attain entrepreneurial knowledge, or to develop entrepreneurial culture and 
managerial qualities, 
- to improve competitiveness of SMEs employing Roma people or owned by Romas 
through technological development,  
- The upper limit of support through tender pro cedures is specified in the call for tender 
7. Subsidy per unit or the total amount 
 
 The total amount accounted for HUF 1,976.1 million. 
 8. Duration of the subsidy 
  This program may not be applied after 2010. 
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
VII. SUBSIDY FOR JOB-CREATION 
1. Title of the subsidy programme  
 
 Labour Market Fund   G/SCM/N/220/EEC/Add.12 
 Page 57 
 
 
  2. Period covered by the notification 
 
 2010.  3. Policy objective and / or purpose of the subsidy  
  Promoting creation of new jobs through investments  4. Background and authority for the subsidy 
 
 The subsidy is provided for by 18. § of the Act IV of 1991 on Job Assistance and 
Unemployment Benefits and the 18. § of the Decree 6/1996. (VII. 16.) of the Minister for Employment on employment subsidies and subsidy for crisis management. 
 5. Form of the subsidy 
  Non-reimbursable subsidy  6. To whom and how the subsidy is provided 
  All kinds of subsidy are awarded through te nder procedures. At least 25 per cent of the 
expenditure of investment must be financed from own source. 
  Support may be granted for those employers who create new jobs, connected to investment. Support may be granted for those employers who undertake to   
- realize the investment in a year after its initiation, 
- sustain and operate capacities and services produced by the investment continuously 
at least for 5 years in accordance of the original purpose, (for SMEs at least for 3 
years)  and 
- maintain the employee number indicated in the application at least 3 years after hiring 
them (for SMEs at least 2 years). 
 The subsidy may not be in excess of 25- 50 per cent of the programme's total costs depending 
on the regional classification. This upper  limit can be increased by 20% for small enterprises, and by 
10% for medium sized enterprises.  7. Subsidy per unit or the total amount 
  The total amount accounted for HUF 2,300 million.  8. Duration of the subsidy  
  No explicit time limit is attached to this programme.  
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  G/SCM/N/220/EEC/Add.12 
Page 58   
  VIII.  CO-FINANCED SUBSIDY PROGRAMMES 
1. Economic Development Operational Programme (EDOP) 
1. Title of the subsidy programme 
 
 Economic Development Operational Programme 
 
2. Period covered by the notification 
  2010.  
3. Policy objective and/or purpose of the subsidy 
 
 Overall objectives:   The main objective of the programme is to en courage the permanent growth of the Hungarian  
economy, by strengthening the competitiveness of the production sector and the permanent growth 
factors.   To create a base for the growth of the H ungarian economy, the following four specific 
objectives have been defined:  
- increase R & D and innovation capacity, activity, as well as cooperation; 
- complex development of corporate capacities; 
- development of the business environment; 
- facilitate SMEs' access to financing resources. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period  
 
5. Form of the subsidy 
  The subsidy is in the form of repayable and non-repayable subsidy. Repayable subsidies are 
granted from credit, guarantee and venture capital SME programmes. 
 
6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules. 
 
 Non-repayable support may be received through open tender procedures.   
  Majority of repayable schemes are provide d through financial intermediate bodies.   G/SCM/N/220/EEC/Add.12 
 Page 59 
 
 
   
 The typical subsidy may not be in excess of 37 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 4%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 9.8 billion.  8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.   
 
2. Environment and Energy Operational Programme (EEOP) 
1. Title of the subsidy programme 
 
 Environment and Energy Operational Programme 
  
2. Period covered by the notification 
  2010  
3. Policy objective and/or purpose of the subsidy 
 
 The developments identified in the Envir onment and Energy Operational Programme are 
intended to mitigate our country's environmental pr oblems, thus improving the quality of life of our 
society and promoting the adaptation of th e economy to the environmental processes. 
Creation and maintenance of an environment suitable for living in  
 
- Protection and conservation of our assets 
- Prevention, economy, energy efficiency 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   
5. Form of the subsidy 
 
 The subsidy is granted from non-repayable support schemes.  G/SCM/N/220/EEC/Add.12 
Page 60   
  6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules. 
 
 Non-repayable support may be receive d through open tender procedures. 
  The typical subsidy may not be in excess of 59 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 7%. 
 
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 1.1 billion. 
 
8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  3. Social Renewal Operational Programme ( SROP) 
1. Title of the subsidy programme 
 
 Social Renewal Operational Programme  2. Period covered by the notification 
  2010 
 
3. Policy objective and/or purpose of the subsidy 
  The overall objective of the Social Renewal Operational Programme is to increase labour 
market participation. The Social Renewal Opera tional Programme contributes to the achievement of 
the expansion of employment and the promotion of permanent grow th (the overall objectives of the 
NHDP) primarily through the development of human resources and by measures aimed at the supply 
side of the labour market. The possibilities inherent  in available labour supply cannot be exploited 
unless job-seeking increases, labour market and social  discrimination decreases, the harmony between 
qualifications, skills sought and s upplied improve, and the proportion of  healthy labour force grows 
owing to the development of health culture. Th e road to enhanced employment leads through 
increasing activity.  
  Therefore, the above described objective is to be achieved with the improvement of the 
quality of the human resources primarily with the he lp of employment, education and training, the 
social field, health care, culture and general education, and anti-discrimination instruments. 
  G/SCM/N/220/EEC/Add.12 
 Page 61 
 
 
  4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes. 
 6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedur es - and through the 
selection of key projects - for the pur poses set in the application calls. 
 
 Typically the subsidy may not be in excess of 94 per cent of the project's total eligible costs. 
The average contribution of the Hungarian government was around 11%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 1.1 billion.  8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015. 
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  4. Social Infrastructure Operational Programme ( SIOP) 
1. Title of the subsidy programme 
 
 Social Infrastructure Operational Programme  2. Period covered by the notification 
  2010  3. Policy objective and/or purpose of the subsidy 
 
 For the success of the inte rventions supporting the enhancement of labour market 
participation and the substantial improvement of the quality of human resources, it is necessary to 
perform coordinated development ac tivities and the comprehensive reform  of public services in the 
field of education, health care, employment and social services. This is the only way to ensure that the G/SCM/N/220/EEC/Add.12 
Page 62   
  systems of public services operate in an efficient and sustainable manner on the one hand, and provide 
equal opportunities to all for accessing quality services, on the other. The substantial elements of the 
reform will be supported partly by the Social Re newal OP, and for the success of the implementation 
of these interventions and for reaching the best r esults, it is inevitable to ensure the physical 
infrastructural background linked to them.  
 
 The SIOP, therefore, contributes to the achie vement of the objectives of the New Hungary 
Development Plan through the m odernisation and development of 
 
- the infrastructure  of the education and training system, including non-formal and 
informal learning,  
- the health care system,  
- the institutional system of employment and social services. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   
5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes.  6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedur es - and through the 
selection of key projects - for the pur poses set in the application calls. 
  Typically the subsidy may not be in excess of 92 per cent of the project's total eligible costs. 
The average contribution of the Hungarian government was around 11%.  
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.1 billion.  8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
  G/SCM/N/220/EEC/Add.12 
 Page 63 
 
 
  5. Transport Operational Programme ( TOP) 
1. Title of the subsidy programme 
 
 Transport Operational Programme  
2. Period covered by the notification 
 
 2010.  3. Policy objective and/or purpose of the subsidy 
  The comprehensive objective of transport de velopments is to improve accessibility with a 
view to increasing global and regional compe titiveness and strengthening socio-economic and 
territorial cohesion. It is intended to improve  the alternative accessibility of regions and the 
accessibility of economic and business centres by enab ling the linking of the various modes of 
transport. The following specific targets have been laid down:  
  In the field of transport development six prio rity axes have been determined that serve the 
above objectives:   
- Improving the international road accessibility of the country and the regional centres 
This priority involves the development, m odernisation of the trans-European road 
transport corridors (TEN-T). 
- Improving the international railway and wate rway accessibility of the country and the 
regional centres The aim of this priority is to develop the Hungarian railway lines that 
constitute part of the trans-European railway network (TEN). 
- Improving regional accessibility This priority ta rgets the development of the main road 
network (1-, 2- and 3-digit roads) impr oving the accessibility within the region.  
- Linking the modes of transport and impr oving the intermodality and the transport 
infrastructure of the economic centres. 
- Improving urban and subur ban public transport. 
- Technical assistance.  
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes. 
 G/SCM/N/220/EEC/Add.12 
Page 64   
  6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules. 
 
 Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls   Typically the subsidy may not be in excess of 100 per cent of the project's total eligible costs. 
The average contribution of the Hungarian government was around 12%. 
 7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 21.1 billion. 
 8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
6. Electronic Public Administration Operational Programme ( EPAOP) 
1. Title of the subsidy programme 
 
 Electronic Public Administration Operational Programme  2. Period covered by the notification 
 
 2009. 
 3. Policy objective and/or purpose of the subsidy 
  The overall strategic objective of the operationa l programme is to improve efficiency in 
public administration. By the reorganisation and simplification of the government processes and their 
subsequent support by means of info-communicati on we intend to make the operation of the state 
more efficient, and provide the same amount of  services with the use of less resource.  The 
operational programme includes the modernisation of  the procedures, processes and services of public 
administration and the judiciary system with the use of info-communication technology, as well as the 
interventions aimed at the identification of the clients as a common element of all public services 
provided by info-communication devices. 
 4. Background and authority for the subsidy 
  Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period.   G/SCM/N/220/EEC/Add.12 
 Page 65 
 
 
  5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes.  6. To whom and how the subsidy is provided 
  Central administrative bodies; Territorial ag encies of the central administrative bodies; 
Territorial self-governments; Municipalities; Micro-regional associations; Companies in state ownership; NGOs fulfilling the tasks of the state; Court, Prosecution and Defence public bodies with 
eligible development projects may receive support for the accomplishment of the project. The support 
schemes must be in line with the OP aims and the EU state aid rules. 
  Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.  
 Typically the subsidy may not be in excess of 100 per cent of the project's total eligible costs. 
The average contribution of the Hungarian government was around 12%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.1 billion. 
 8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015. 
 
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
7. South Great Plain Operational Programme (SGPOP)  
1. Title of the subsidy programme 
 
 South Great Plain Operational Programme  2. Period covered by the notification 
  2010.  3. Policy objective and/or purpose of the subsidy 
  The overall objective for the South Great Plain Region is to ensure sustainable growth and 
increased employment as well as to redress regional imbalances. Based on comparative territorial 
advantages, the specific objectives of the development programme are the following: 
 
- Improving and increasing the competitiveness of the regional economy, promotion of 
change in economic structure based on innovation. 
- Improvement of municipal and environm ental conditions which determine living 
conditions for the population, in order to boost regional cohesion. G/SCM/N/220/EEC/Add.12 
Page 66   
  4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes. 
 6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.  
- Non-repayable support may be received through open tender procedures for the 
purposes set in the application calls. 
- The typical subsidy may not be in excess of 48 per cent of the total eligible costs. The 
average contribution of the Hungarian government was around 6%. 
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.8 billion. 
 
8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
8. South Transdanubia Operational Programme (STDOP)  
1. Title of the subsidy programme 
 
 South Transdanubia Operational Programme  2. Period covered by the notification 
  2010 
 
3. Policy objective and/or purpose of the subsidy 
  The overall long term objective of the South Transdanubia Operational Programme (until 
2020) is the South Transdanubia region's convergen ce to the country's more developed areas.  
Accordingly, the strategic objective of this progra mme (until 2013) is to stop the South Transdanubia 
region's falling behind, in other words to keep the region on the nation's growth path for the sake of a  G/SCM/N/220/EEC/Add.12 
 Page 67 
 
 
  convergence process to be launched subsequently. Th ree specific objectives were determined for the 
sake of accomplishing the strategic objective:  
- Protection of the natural and built environment in the Region 
- Competitive economy based on local characteristics 
- To stop the increase of social differences within the region 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes.  6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls. 
 
 The typical subsidy may not be in excess of 47 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 6%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.7 billion.  8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015. 
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  9. North Great Plain Operational Programme (NGPOP)  
1. Title of the subsidy programme 
 
 North Great Plain Operational Programme  G/SCM/N/220/EEC/Add.12 
Page 68   
  2. Period covered by the notification 
 
 2010  3. Policy objective and/or purpose of the subsidy 
  The NOGPOP sets the following long-term overall objective:   Based on the natural and social heritage and the characteristics of the settlement network of 
the North Great Plain Region, to strengthen re gional competitiveness and redress territorial 
imbalances within the region. 
  Accordingly, the strategic objective of this programme is preventing the North Great Plain Region from falling behind; i.e. keeping the region on a national growth trajectory in order that a process of convergence may later begin. 
 
 In order for the strategic objective to be ach ieved, three specific objectives have been set: 
 
- Strengthening the region's SME sector 
- Improving the income generating ability of tourism 
- Improving the population's mobility 
- Developing the region's human resources 
- Improving the environmental status of the built and natural environment 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 Ju ly 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree  255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidi es and responsible institutio ns in the 2007-2013 
programming period.  
 
5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes.  6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls. 
 
 The typical subsidy may not be in excess of 51 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 6%.   G/SCM/N/220/EEC/Add.12 
 Page 69 
 
 
  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.9 billion.  
8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
10. North Hungary Operational Programme (NHOP)  
1. Title of the subsidy programme 
 
 North Hungary Operational Programme  2. Period covered by the notification 
  2010 
 
3. Policy objective and/or purpose of the subsidy 
  The overall objective of the programme is:  
- To improve the economic competitiveness of the region while decreasing territorial and 
social-economic differences within the region. 
- The programme formulates the following specific objectives for the period 2007-2013: 
- To improve competitiveness of the economy making use of local resources, 
cooperation; 
- Improving the capacity of tourism to produce income 
- To enhance social cohesion and to devel op an attracting econom ic and residential 
environment. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes.  G/SCM/N/220/EEC/Add.12 
Page 70   
  6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules. 
 
 Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.   The typical subsidy may not be in excess of 45 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 5%. 
 7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.9 billion. 
 8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  
9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  11. Cent ral Transdanubia Operational Programme (CTDOP)  
1. Title of the subsidy programme 
 
 Central Transdanubia Operational Programme  2. Period covered by the notification 
 
 2010. 
 3. Policy objective and/or purpose of the subsidy 
  An overall objective of CETOP is to ensure th at, making an efficient use of socio-economic 
innovation and relying on on-going revival efforts,  the Central Transdanubia Region maintains its 
outstanding economic positi on and revenue-generation ab ility among Hungarian regions. 
  Achievement of this overall objective is prom oted by four specific development goals as 
follows: 
- Create an innovative and competitive economic environment 
- Improve the tourist potential of the Region 
- Sustainable development of the se ttlement network in the Region 
- Amplify regional cohesion through invest ments in environment, and transport 
infrastructure 
- Establish efficient and renewabl e human infrastructure background  G/SCM/N/220/EEC/Add.12 
 Page 71 
 
 
  4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of 
the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes. 
 6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.  
 
 The typical subsidy may not be in excess of 43 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 5%.  7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.7 billion.  8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015. 
 9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
12. Central Hungary Operational Programme (CHOP)  
1. Title of the subsidy programme 
 
 Central Hungary Operational Programme  
2. Period covered by the notification 
 
 2010.  3. Policy objective and/or purpose of the subsidy 
  The overall objective of the operational prog ramme is to improve the international 
competitiveness of the Central Hungary Region, observi ng the principle of sustainable development.  
 G/SCM/N/220/EEC/Add.12 
Page 72   
  - With an eye to achieving the overall objectiv e, two specific objectives have been set:  
- to develop factors influencing the Region's competitiveness 
- to develop the Region's internal cohesion a nd the harmony of its spatial structure. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period  
 
5. Form of the subsidy 
  The subsidy is in the form of non-repayable support schemes.  
6. To whom and how the subsidy is provided 
 
 Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.  
 Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls.   The typical subsidy may not be in excess of 39 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 5%. 
 
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 2.8 billion.  
8. Duration of the subsidy 
 
 These grant schemes may not be applied after the year 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
13. West Pannon Operational Programme (WPOP)  
1. Title of the subsidy programme 
 
 West Pannon Operational Programme 
 2. Period covered by the notification 
  2010. 
  G/SCM/N/220/EEC/Add.12 
 Page 73 
 
 
  3. Policy objective and/or purpose of the subsidy 
 
 Overall objective of the OP: to establish an eco nomic and public service infrastructure in line 
with the regional environment through environmenta lly consciously planned development in order to 
promote growth and employment.  
 
- Five specific development objectives support this overall objective: 
- Economy built on local innovative r esources and corporate networks 
- Tourism based on high quality ser vices and leveraging heritage 
- Network of towns comprised of liveable towns providing efficient support for regional 
centres 
- High quality environment and safe access to regional centres and sub-centres 
- Infrastructure supporting public services based on the local environment 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999, Government Decree 255/2006 (XII. 8.) on the basic rules of the use of the ERDF,  ESF and CF subsidies and responsible institu tions in the 2007-2013 
programming period   
5. Form of the subsidy 
 
 The subsidy is in the form of non-repayable support schemes.  6. To whom and how the subsidy is provided 
  Public and private enterprises with eligible development projects may receive support for the 
accomplishment of the project. The support schemes mu st be in line with the OP aims and the EU 
state aid rules.   Non-repayable support may be received thro ugh open tender procedures for the purposes set 
in the application calls. 
  The typical subsidy may not be in excess of 40 pe r cent of the total eligible costs. The average 
contribution of the Hungarian government was around 5%.  
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government) 
 
 The total amount paid was HUF 0.5 billion.  8. Duration of the subsidy 
  These grant schemes may not be applied after the year 2015.  G/SCM/N/220/EEC/Add.12 
Page 74   
  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A.  
14. South East Europe Transnational Co-operation Programme 
1. Title of the subsidy programme 
 
 South East Europe Transnational Co-operation Programme.  2. Period covered by the notification 
  2010.  3. Policy objective and/or purpose of the subsidy 
 
 The programme is implemented under the tran snational cooperation strand of the European 
Territorial Cooperation objective, enabling coopera tion between beneficiaries from 16 countries of the 
programme area, including 8 Member States, 6 countries with candidate or potential candidate 
country status and 2 countries classified as thir d countries. The general aim of the programme is 
fostering the balanced territorial development and territorial integration of the programme area. The 
programme comprises the following priority axes: 
 
- Priority axis 1: Facilitation of innovation and entrepreneurship; 
- Priority axis 2: Protection and improvement of the environment; 
- Priority axis 3: Improvement of the accessibility; 
- Priority axis 4: Development of transnati onal synergies for sustainable growth areas; 
- Priority axis 5: Technical assistance to support implementation and capacity building. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999; 
 
 Regulation (EC) No 1080/2006 of the European Pa rliament and of the Council of 5 July 2006 
on the European Regional Development Fund an d repealing Regulation (EC) No 1783/1999; 
  Government Decree No 160/2009 (VIII. 3.) on  the implementation of certain programmes 
related to European territorial cooperation, funde d by the European Regional Development Fund and 
the Instrument for Pre-Accession in the programming period 2007-2013.  5. Form of the subsidy 
  The subsidy is provided in the form of non-repayable subsidy. 
  G/SCM/N/220/EEC/Add.12 
 Page 75 
 
 
  6. To whom and how the subsidy is provided 
 
 Subsidy in the framework of the programme (under priority axes 1-4) is provided to transnational partnerships that may comprise pr ivate and public bodies as well as bodies that qualify 
as body governed by public law (as per Directive 2004/18/EC). 
 
 National state co-financing is provided on a co mplementary basis to all Hungarian partners 
participating in projects selected for community co -financing. The rate of national state co-financing 
is determined taking into account of the status of the Hungarian partner and may not exceed 15%.  
 
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government for priorities other than Technical Assistance) 
 
 The total amount paid was EUR 100,800.  
8. Duration of the subsidy 
 
 From 2007 to 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N.A. 
 
15. Hungary-Slovakia Cross-border Co-operation Programme 2007-2013 
1. Title of the subsidy programme 
 
 Hungary-Slovakia Cross-border Co-operation Programme 2007-2013 
 2. Period covered by the notification 
  2010.  
3. Policy objective and/or purpose of the subsidy 
 
 The programme is implemented under the cro ss-border cooperation strand of the European 
Territorial Cooperation objective, enabling coop eration between beneficiaries from Hungary and 
Slovakia. The overall strategic goal of the programme  is increasing the level of economic and social 
integration of the border area. The programme comprises the following priorities in order to pursue 
the above strategic goal:   
- Priority 1: Economy and society; 
- Priority 2: Environment, na ture protection and accessibility; 
- Priority 3: Technical assistance. 
 
4. Background and authority for the subsidy 
  Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999; G/SCM/N/220/EEC/Add.12 
Page 76   
   Regulation (EC) No 1080/2006 of the European Pa rliament and of the Council of 5 July 2006 
on the European Regional Development Fund an d repealing Regulation (EC) No 1783/1999; 
  Government Decree No 160/2009 (VIII. 3.) on  the implementation of certain programmes 
related to European territorial cooperation, funde d by the European Regional Development Fund and 
the Instrument for Pre-Accession in the programming period 2007-2013. 
 5. Form of the subsidy 
  The subsidy is provided in the form of non-repayable subsidy. 
 
6. To whom and how the subsidy is provided 
  Subsidy in the framework of the programme ( under priorities 1 and 2) is provided to cross-
border partnerships of legal persons that may co mprise private and public bodies, bodies that qualify 
as body governed by public law (as per Directive 2004/18/EC) and EGTCs (European groupings of 
territorial cooperation).   National state co-financing is provided on a co mplementary basis to all Hungarian partners 
participating in projects selected for community co -financing. The rate of national state co-financing 
is determined taking into account of the status of the Hungarian partner and may not exceed 15%. 
 
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government for priorities other than Technical Assistance) 
 
 The total amount paid was EUR 1,239,995.38. 
 
8. Duration of the subsidy 
  From 2007 to 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N/A.  
16. Hungary-Romania Cross-border Co-operation Programme 2007-2013 
1. Title of the subsidy programme 
 
 Hungary-Romania Cross-border Co-operation Programme 2007-2013  2. Period covered by the notification 
  2010. 
 
3. Policy objective and/or purpose of the subsidy 
  The programme is implemented under the cro ss-border cooperation strand of the European 
Territorial Cooperation objective, enabling coop eration between beneficiaries from Hungary and 
Romania. The general objective of the programme is  to bring the different actors – people, economic 
actors and communities – closer to each other, in or der to better exploit opportunities offered by the 
joint development of the border area. The progr amme also aims improving the competitiveness and  G/SCM/N/220/EEC/Add.12 
 Page 77 
 
 
  attractiveness of the border area. The programme co mprises the following priorities in order to pursue 
the above goals:  
- Priority 1: Improve the key conditions of joint, sustainable development of the 
cooperation area (Improvement of cro ss-border transport, communication and 
environmental protection); 
- Priority 2: Strengthen social and economic  cohesion of the border area (Cooperation in 
the fields of business, RTD, education, labour market, health care and risk management); 
- Priority 3: Technical assistance. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999; 
 
 Regulation (EC) No 1080/2006 of the European Pa rliament and of the Council of 5 July 2006 
on the European Regional Development Fund an d repealing Regulation (EC) No 1783/1999; 
  Government Decree No 160/2009 (VIII. 3.) on  the implementation of certain programmes 
related to European territorial cooperation, funde d by the European Regional Development Fund and 
the Instrument for Pre-Accession in the programming period 2007-2013. 
 5. Form of the subsidy 
  The subsidy is provided in the form of non-repayable subsidy. 
 
6. To whom and how the subsidy is provided 
  Subsidy in the framework of the programme ( under priorities 1 and 2) is provided to cross-
border partnerships that may comprise public bodies, bodies that qualify as body governed by public law (as per Directive 2004/18/EC), non-profit pr ivate bodies or EGTCs (European groupings of 
territorial cooperation). 
  National state co-financing is provided on a co mplementary basis to all Hungarian partners 
participating in projects selected for community co -financing. The rate of national state co-financing 
is determined taking into account of the status of the Hungarian partner and may not exceed 15%. 
 
7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government for priorities other than Technical Assistance) 
 
 The total amount paid was EUR 25,425.  
8. Duration of the subsidy 
 
 From 2007 to 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N/A. G/SCM/N/220/EEC/Add.12 
Page 78   
  17. Operational Programme for Objective 3 Cross-border Co-operation Austria-Hungary 
2007-2013 
1. Title of the subsidy programme 
 
 Operational Programme for Objective 3 Cross-border Co-operation Austria-Hungary 
2007-2013. 
 2. Period covered by the notification 
  2010. 
 
3. Policy objective and/or purpose of the subsidy 
  The programme is implemented under the cro ss-border cooperation strand of the European 
Territorial Cooperation objective, enabling coope ration between beneficiaries from Austria and 
Hungary. The strategic objective of the programme is  to foster the economical, social, environmental 
and cultural development of the border region and to reduce regional disparities by means of cross-
border cooperation. The programme comprises the fo llowing priorities in order to pursue the above 
goal:  
- Priority 1: Innovation, integration and competitiveness; 
- Priority 2: Sustainable development and accessibility; 
- Priority 3: Technical assistance. 
4. Background and authority for the subsidy 
 
 Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on 
the European Regional Development Fund, the Eu ropean Social Fund and the Cohesion Fund and 
repealing Regulation (EC) No 1260/1999;   Regulation (EC) No 1080/2006 of the European Pa rliament and of the Council of 5 July 2006 
on the European Regional Development Fund an d repealing Regulation (EC) No 1783/1999; 
 
 Government Decree No 160/2009 (VIII. 3.) on  the implementation of certain programmes 
related to European territorial cooperation, funde d by the European Regional Development Fund and 
the Instrument for Pre-Accession in the programming period 2007-2013.  5. Form of the subsidy 
  The subsidy is provided in the form of non-repayable subsidy.  6. To whom and how the subsidy is provided 
  Subsidy in the framework of the programme ( under priorities 1 and 2) is provided to cross-
border partnerships of legal persons that may comprise public bodies, bodies that qualify as body 
governed by public law (as per Directive 2004/ 18/EC), non-profit organisations and other 
organisations pursuing activities in the public interest on project level.   G/SCM/N/220/EEC/Add.12 
 Page 79 
 
 
   National state co-financing is provided on a co mplementary basis to all Hungarian partners 
participating in projects selected for community co -financing. The rate of national state co-financing 
is determined taking into account of the status of the Hungarian partner and may not exceed 15%. 
 7. Subsidy per unit or the total amount (the data  contains only the contribution of the Hungarian 
government for priorities other than Technical Assistance) 
 
 The total amount paid was EUR 100,534.50.  8. Duration of the subsidy 
  From 2007 to 2015.  9. Statistical data permitting an assessmen t of the trade effects of the subsidy 
 
 N/A. 
  
__________