The National Tax Strategy, currently being elaborated by the Ministry for National Economy, aims to reduce the time required of enterprises to devote to taxation issues, Minister Mihály Varga said at a conference organized by Deloitte Hungary.
Economic expansion may offset the shortfall of revenues stemming from lower payroll taxes, as the Government is expecting the rate of growth to exceed 3 percent next year, Minister for National Economy Mihály Varga said, at the annual hearing of the parliament’s economic committee. Raising the minimum wage will generate revenues of HUF 180bn, while the reduction of payroll taxes will cut them by HUF 410bn, he noted.
Favourable labour market trends continued in the period August-October 2016: the number of people in employment aged 15-74 years rose by 138 thousand, to 4 million 404 thousand, a new record high.
The increase was realized in the private sector, where payroll data showed growth of 150 thousand year-on-year. In the observed period, the unemployment rate fell to 4.7 percent, the lowest figure since the regime change in 1989.
At the Budapest Water Summit 2016 the Minister for National Economy held talks with the leaders of various international organizations and institutes, among others, with Managing Director and World Bank Group Chief Joaquim Levy, International Investment Bank Chairman Nikolay Kosov and Deputy Director-General of United Nations Industrial Development Organization (UNIDO) Taizo Nisikawa.
The volume of retail sales in Hungary grew by 5.1 percent in September and by 5 percent in the first nine months of the year, year-on-year. The upward trend has been in place for the 39th consecutive month. Compared to other countries in the EU, Hungary’s retail sales growth rate was the fifth largest in terms of year-on-year data, well above the EU average of 2.2 percent.
The Hungarian Government relies on Hungary’s tax authority not only as a body that safeguards fiscal revenues, but also as a supporter of economic policy, and that is why the Hungarian Tax and Customs Administration has been entrusted with new tasks, Minister for National Economy Mihály Varga said at an international tax policy conference today. The high-profile event was also attended by Secretary General Kunio Mikuriya of the World Customs Organization and Executive Secretary Miguel Silva Pinto of the Intra-European Organization of Tax Administrations.
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