New IOTA Paper is Out Now

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TextDescription automatically generatedWe are glad to inform you that our latest IOTA Paper in collaboration with the Hungarian National Tax and Customs is issued and is now just a click away. The new Paper explores the Pre-insolvency Procedures Implemented in Hungarian Law and is written by Katalin Kanizsai, LL.M., who works as an Expert at the Insolvency and Enforcement Department of the Hungarian National Tax and Customs Administration (NTCA).

The impact on the economy caused by the Covid-19 pandemic that has hit the world and by the energy crisis that is currently taking place has put and could put many businesses in a critical financial situation in the near future. The aim of Directive (EU) 2019/1023 of the European Parliament and of the Council, of 20 June 2019 on Restructuring and Insolvency is to introduce an instrument to rescue companies that are still viable but in financial difficulty, providing an effective legal tool to help financially distressed companies to recover.

This Paper is an analysis of how the Restructuring Directive has been transposed into Hungarian law, and how it offers innovative solutions for distressed companies, following the main building blocks. It remains to be seen whether the new procedures will change the approach of debtors and creditors, as the restructuring, which aims to introduce a pre-insolvency procedure, opens up completely new perspectives for the parties concerned, which were not present in the bankruptcy and liquidation proceedings available until now. The full version of the Paper will open if you click here.

In the meantime, if you would like to browse among the previous issues, head over to the dedicated webpage of the IOTA Papers. We wish you a good reading!

Would you like to see your IOTA Paper published? Do you have any relevant issues you wish to share?

Please contact the IOTA PCP of your Tax Administration and find the submission link in our monthly Newsletter. We're looking forward to receiving your IOTA Paper!