The opposition Tisza Party’s planned austerity package would cost the people 1,300 billion forints (EUR 3.4bn), Prime Minister Viktor Orbán said on Wednesday in a post on Facebook titled “Everything you need to know about Tisza’s austerity package”.
Higher PIT and VAT, lower family tax breaks
Orbán said Tisza planned to introduce 22-33 percent personal income tax brackets, with which even those making more than gross 416,000 forints a month would see their PIT rise to 22 percent.
An average Hungarian family’s tax breaks would be cut by 30 percent, he said. Also, the taxes of SMEs would be increased substantially, with the corporate tax rate rising to 13.5 percent for small businesses and to 18 percent for medium-sized companies, the prime minister said.
Tisza would also introduce a 32 percent VAT on cars with an engine capacity over 1,600 cc and their parts, on alcoholic beverages and tobacco products, he added.
Tax for dog and cat owners
They would introduce a 20 percent tax on widow’s pensions, a tax for dog and cat owners as well as a 4 percent special tax on pet supplies, Orban said.
Tisza, he said, also planned to privatise health care and the pension system, adding that employees would have to pay more to receive even the lowest pension and the weakest basic health care than they are paying in the current system.
“This austerity package contains everything that liberal economists, the Brussels bureaucrats and leftist experts are enthusiastic about,” Orbán said. “It would cost the people 1,300 billion forints. Let’s not allow them to knock Hungary to the ground with it.”
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lie lie till you believe your own lie!!
Orbán assuming that people living under his dictatorship in luxury
what a hypocrite!
Lets see. Currently, we pay just over 2.5 percent of GDP on debt interest alone – and this number will rise in the future (and rise – our Politicians are promising no austerity, right?).
Also – more facts and data: “After two years of no or limited growth, GDP is projected to grow by 0.4% in 2025 and by around 2% in 2026 and 2027, supported by consumption and the recovery of investment and exports. Inflation is set to moderate from 4.5% in 2025 to below 4% in 2026 and 2027, but inflationary pressures remain strong.”
https://economy-finance.ec.europa.eu/economic-surveillance-eu-member-states/country-pages/hungary/economic-forecast-hungary_en
Error in this summary – our Politicians have already flagged we will bust through the 4.6 percent general government deficit: it will be over 5 percent (yes – we are Winners, baby!).
And no austerity and limited growth means … More borrowing! Do look up Hungary – highest 10 year bond yield in the EU – over 7 percent. Even higher than Romania.
https://www.investing.com/rates-bonds/european-government-bonds?maturity_from=180&maturity_to=180
It is “The War!”, “Soros!”, “Brussels Bureaucrats!”. Could not possibly be our Politicians, could it?
I guess we’ll have to wait and see…we will know after the elections.