Successful defense resulted in an economic competitive advantage!

Successful defense resulted in an economic competitive advantage!

👉1 million families, 1.8 million children and
The steps announced by Viktor Orbán yesterday may affect 1.5 million earners! Both adults can get back their full annual personal income tax payment for 2021, but a maximum of HUF 800,000 per person.

And that's not all! Thus "steals the Zorban"
🟠Tax exemption for young people!
🟠CSOK, Baby waiting for young couples!
🟠13. monthly pension, premium and increase for retirees!
🟠Tax refund, home renovation support for families!
🟠Work, cheap overhead, tax cuts, developing country for everyone!
🟠Significant tax relief, car purchase support for large families!
🟠Contribution reduction, development aid, tax reduction for employers!

- Due to the successful epidemic management, in April Hungary was among the first countries where the conditions for opening could be created. We were able to open the country a month and a half or two earlier than anyone else in Europe. The successful defense resulted in a significant economic competitive advantage, Márton Nagy, the Prime Minister's Chief Adviser, told the Hungarian Nation about what was said at Wednesday's conference on the World Economy. - The economy has been defended and must be restarted now. In order to restore growth rapidly, supportive fiscal policies need to be maintained. The 2021 and 2022 budgets serve this purpose. So we don’t have an election budget, we have a restart budget, ”he explained. He says growth could be as high as six percent this year. It is also important that the unemployment rate reaches the pre-crisis level of less than three and a half percent, which means that at least 4.650 million people work in Hungary. That means creating fifty thousand new jobs twice.

🟠Paid PIT is back
The Chief Adviser also spoke about the importance of supporting vulnerable social groups, the crisis has hit everyone vulnerable, but most of all families, young people and pensioners have been in a difficult situation.
- Some families have run out of reserves, parents have had to stay home due to the closure of kindergartens, nurseries and schools. Therefore, it has been suggested by the Prime Minister that if this year's economic growth is above five and a half percent, both adults in families raising children will receive their full annual personal income tax payment in 2021, but a maximum of eight hundred thousand forints per person.

All of this could affect 1.1 million families and 1.5 million earners, he explained. - We will provide personal income tax exemption for those under 25 from the beginning of next year. This could affect three hundred thousand people. The 2.4 million retirees are still expected to receive a higher post-inflation increase and a premium for higher economic growth at the end of the year. At the beginning of next year, the reconstruction of the 13-month pension will continue - Márton Nagy explained the steps.

🟠 Up to one billion forints for ten years
The General Counsel also pointed out that many companies need to regain their entrepreneurial spirit. He recalled that in the recent past, companies, and in particular micro, small and medium-sized enterprises (SMEs), had received a number of assistance. For example, the business tax was halved and more concessional loans became available.
- The exit of the Growth Loan Program operated so far by the central bank will have a significant impact on the SME credit market. For this reason, the government, together with the Hungarian Chamber of Commerce and Industry, will restructure the SME loan schemes of the Széchenyi card as of 1 July. Restart credits are created. The focus is on long-term investment loans instead of short-term ones.

Entrepreneurs will be able to borrow for almost all investment purposes up to a maximum of HUF 1 billion for ten years at a fixed interest rate of 0.5 percent, the chief consultant said.

🟠Minimum wage of two hundred thousand forints
Márton Nagy called it important that the decline in employer contributions may continue next year, thus supporting the rise in wages. - Trade unions and workers need to start wage negotiations in 2022 and set a minimum wage soon. The rapid recovery of the economy will provide an opportunity for a double-digit wage increase of more than ten percent next year. At the same time, it would be good to reach the minimum wage of two hundred thousand forints in one or two years, he emphasized.

🟠The credit moratorium will be longer
"Let's not forget the credit moratorium," he continued, "which has significantly protected families and businesses since the crisis broke out." There is a tough professional debate about the future of this. We need to look at how a credit moratorium can help relaunch the economy and protect people in need.

The moratorium in its current form will be automatically extended until the end of September, and a decision will have to be made in early September on what will happen from October, he explained.

🟠More efficient economy
- As we restart the economy, we are building a new world. We believe in building a work-based but stronger, better, more efficient economy than before. To do this, a new alliance must be formed with families and businesses. Restarting is the first step, followed by creating a new strategy. Already this year, we are returning to the path of sustainable catching up, which means sustained domestic growth two percent higher than the growth of the union. At the same time, we must stay here for the next ten years, the goal is to reach the average level of development of the union by 2030, Márton Nagy finally added.


Tags: Economy  Tax