Human Rights Watch Criticizes Hungarian Government for Terminating Court Cases on Municipal Tax Using Emergency Powers

Hungarian Government Terminates Court Cases on Municipal Tax Using Emergency Powers, Sparks Widespread Concern

Human Rights Watch has condemned Hungary's government for issuing Decree 15/26 (II.3), which terminated court cases challenging a municipal 'solidarity contribution tax'. The decree, passed by the Hungarian parliament on February 3, 2026, applies to all municipalities in the country, regardless of their political affiliation.

This move is part of a broader trend of using emergency powers to bypass the judiciary and consolidate power. Hungary's government has been increasingly authoritarian under the leadership of Prime Minister Viktor Orbán since 2010, with the country experiencing a decline in judicial independence and an erosion of democratic institutions. The decree is a stark example of this trend, as it seeks to undermine the rule of law and the principle of judicial review.

Budapest and other opposition-led municipalities had won rulings, including from the Curia, against the tax, which they argued was unconstitutional and unfair. However, with Decree 15/26 (II.3), the Hungarian government has effectively shut down these court cases, leaving thousands of citizens at risk of financial hardship.

Human Rights Watch has expressed deep concern over this development, stating that it "undermines the rule of law and threatens the democratic fabric of Hungary". The implications of this move are far-reaching, not just for Hungary but also for its neighbors Austria and Slovakia, which have experienced tensions with Hungary over issues of migration and border control.

The European Union's response to this issue will likely be closely watched by these countries, as they navigate their own relationships with the EU and the Hungarian government. As the situation in Hungary continues to unfold, it is clear that the country's government is seeking to consolidate its power and undermine democratic institutions.

This move has significant regional implications, and Human Rights Watch's condemnation serves as a stark reminder of the importance of upholding human rights and the rule of law in all countries. The international community must remain vigilant and take action to support those affected by this development.