Unified property tax from 2008, major tax reform starts in 2009

Hungary will implement some simpler modifications to its tax regime as of January 2008 and major adjustments to the system that require wide-scale preparations are to enter into force as of January 2009.

The correctional measures, the details of which are to be finalised by 30
September, will not affect the macroeconomic path laid down in the Convergence
Programme, Miklós Tátrai, secretary of state at the Finance Ministry, told a
press conference.
Tátrai said the property tax, which will be strictly value-based, would be
levied by local governments using a unified methodology. In 2006,
property-linked revenues of local governments amounted to HUF 65 billion.
The new property tax will replace 4+1 property-linked taxes. Tátrai said the
government was not opposing to levy the new tax on real estate worth more than
HUF 50 million.