What does the extraordinary tax and contribution discount mean?
In order to mitigate the economic impact of an emergency situation caused by the coronavirus epidemic, the Government issued a decree on 18 March providing almost complete individual contribution exemptions for workers in particularly vulnerable sectors from March to June 2020. There are a number of practical issues surrounding the interpretation of legislation that has been enacted extremely quickly, in connection with which the tax authority is constantly updating its information material.
A detailed list of the sectors concerned and detailed rules for the application of the regulation are contained in a government decree promulgated on 23 March. Regarding the interpretation of the legislation, the tax authority issued a constantly updated information material on 27 March, which answers a number of interpretation questions. The prospectus is available at the following link:
https://www.nav.gov.hu/nav/
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