PM calls for new tax model to replace crisis tax beyond 2012

Budapest, November 11 (MTI) – Hungary’s Prime Minister Viktor Orban called for a new model of taxation for the long term. After the current “crisis taxes” expire, the government will strike a new bargain with the sectors involved on a new tax regime, he told a news conference on Thursday.

The crisis taxes levied on the banking, telecom, energy and retail sectors this year were originally planned to expire in 2013.

    The European Union is expected to come up with a banking tax regime by 2012, after which it would be desirable to “reach agreement on a new regulation calculating with an income of about half the current burden,” Orban told journalists in parliament.

    Orban said the government was currently focused on getting the Hungarian economy back on its feet, which can only be achieved by creating new jobs and protecting existing ones.

    The government plans revenues 93.5 billion forints per year from a special tax on the financial sector in 2012-14 and 85.5 billion forints from a extra company tax in 2013-2014, according to a document released on Wednesday.



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