In the long run it is possible that Hungary will introduce a 9% personal income tax rate, but presently the country is not strong enough to do that, Prime Minister Viktor Orbán told commercial broadcaster InfoRadio on Thursday.
The PM said he sees no reason why the tax regime should be altered since the low personal income tax rate urges people to work therefore the cabinet will keep trying to ensure budget revenues from the consumption side.
Bigger manoeuvring room outside the EDP
Evaluating his cabinet’s three-year job Orbán said they have successfully dragged the country out of a pit. Hungary was able to exit the international financial assistance programmes and so it has obtained on its own right the authority to decide its own fate, Orbán said.
He said the exit from the EU’s excessive deficit procedure (EDP), which was recommended to the Council by the European Commission on 29 May, will enlarge the elbowroom of the government, adding that EU funds [for the country] are safe.
Advertising tax to be imposed from July
The spending freezes at ministries will be maintained and one-off state investments will also be financed via the sale of state assets rather than from the budget, the PM confirmed. About the planned advertising tax he said consultations with the profession are yet to follow, but the government intends to impose this new levy as of July.
Source and more info, look at: Portfolio