BUDAPEST: The Economy Minister Mihaly Varga said that Hungary may review special taxes on the telecommunications sector as the economy grows. Varga did say whether that meant the government might reduce or remove the tolls on phone calls, text messages and infrastructure though he said the review would follow the phasing out of a similar tax on retail. The levy was imposed in 2010, alongside similar measures covering retail and energy, as part of Prime Minister Viktor Orban’s unorthodox fiscal stabilization campaign.
Hungary, which needs to keep its budget deficit below the European Union’s 3 percent of economic output ceiling, is expecting to raise a combined 123 billion forints from the taxes this year.Varga also said economic growth could come in at 2.8 to 2.9 percent this year, faster than previous expectations, adding that he expected growth to remain at the same pace next year.
He said the government aimed to cut the budget deficit further in the coming years. Last year the shortfall was about 2.3 to 2.9 percent of gross domestic product.
