Túró Rudi or vegetable VAT? There was a lively debate in the parliament

By: Trademagazin Date: 2023. 11. 10. 13:12

In addition to the Túró Rudi VAT reduction, the government is planning a number of other significant tax changes in the field of tax laws, which have already been discussed in parliament. Administrative burdens on small and medium-sized enterprises are reduced, start-ups are supported, and in the case of fuel, the amount that can be reclaimed from the excise tax is almost tripled. Special taxes will be phased out gradually, advertising tax will be suspended for another year, and the rules for e-receipts will change – Minister of Finance Mihály Varga explained the changes in his parliamentary presentation.

Among the basic principles of the tax policy is the reduction of taxes on work and income, while the financing of public expenditures is to be solved through consumption-type taxes – stressed the leader of Fidesz. The benefit of wines and champagnes served for the purpose of representation will become tax-free, and the contribution tax base of individual and social entrepreneurs will be the amount of the minimum wage.

The KDNP indicated that they plan to reduce the VAT of Túró Rudi to 18 percent and the tax on the import of works of art to 5 percent. In addition, the discount for reclaiming the excise tax on commercial diesel will increase from 3.5 to 10 forints from January.

The DK urges a comprehensive reform, complaining that the VAT in Hungary is the highest in the European Union.

The socialists propose reducing the 27 percent VAT on vegetables and fruit, and would make the tax discount for energy investments available to private individuals.