Professional organizations are demanding the lifting of the tightening of the kata

By: Trademagazin editor Date: 2020. 10. 16. 11:20

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Several professional advocacy organizations are asking the parliament to withdraw the tightening of the kata (itemized tax for small tax companies) effective from 2021 and to discuss the 7 + 1 point proposal of the Budapest Chamber of Commerce and Industry (BKIK).

The chamber announced it to MTI on Thursday: the common position was supported by the National Association of Employers and Manufacturers (MGYOSZ), the Hungarian Industry Association (OKISZ), the Association of Tax Advisers and the Association of Hungarian Certified Tax Experts (MOKLASZ).

It is proposed that controls be strengthened, that covert employment abuses be tackled, but that honest kata users (who are the majority) should not be punished with an unfair criminal tax. Therefore, instead of the “Lex Parragh” effective from 2021, it is proposed to keep the current tax burden up to 6 million HUF instead of 3 million HUF, with a new tax rate of 15% on income above that amount. (MTI)