BUDAPEST: Hungarian Prime Minister Viktor Orban has suggested that corporate tax could be reduced in the coming years to improve the competitiveness of the Hungarian economy.
Addressing the European Bank for Reconstruction and Development’s conference in Budapest on November 10, Orban said that the Government should seek to take less out of company profits in tax, enabling them to become more competitive and pay higher wages.
It is therefore necessary to simplify the corporation tax system, he said, adding that 19 percent main rate of corporate tax will have to be reduced over the next few years.
Orban told the conference that a reduction in Hungary’s payroll tax, currently among Europe’s highest at 27 percent, is inevitable.
He also said that personal income taxes should be further reduced.
