Economy

Hungarian Tax Office Levies €11,500 Fine After UBER Inspections

Inspections of ride-hailing service Uber by the national tax office NAV since January 1 have uncovered 20 drivers with no tax numbers, the office said.

NAV has so far conducted 250 inspections in the form of “test rides” and levied fines of 3.6 million forints (EUR 11,500) during the period, it said. Since April 25, the inspections have been carried out together with Budapest’s transport authority (BKK) and the police. Police removed the license plates of four vehicles over the course of the inspections.

NAV’s inspections focus on verifying whether Uber drivers are registered with the authority, operate the service with their own car or a company-owned car and whether they provide receipts after the rides. If the vehicle is found to be owned by a company, NAV also conducts an inspection of that company’s services. The inspection is completed at the end of the test ride by BKK and the police together to verify whether the driver possesses all permits and meets all conditions to operate the service, NAV said, adding that if a driver fails to meet the requirements, police can remove the car’s number plate.

NAV made the decision to introduce stricter measures for Uber drivers in March after the release of an audit in which it was established that some two-thirds of drivers were not registered with the authority and did not have a tax number. Under the new rules, drivers are required to become self-employed entrepreneurs with a tax number and qualifications required for issuing receipts after the ride.

via hungarymatters.hu and MTI