Hungary rejects any initiative that would lead to a tax increase and the deterioration of competitiveness, which is why it did not support the introduction of the global minimum tax at Thursday's meeting of the Organization for Economic Cooperation and Development, Mihály Varga said.
The Minister of Finance emphasized that the Hungarian government is committed to fair tax competition and the taxation of digital companies, but the tax increase cannot penalize productive enterprises that carry out real economic activity, as it may endanger jobs and investments.
The Hungarian government's crisis management measures were based on protecting jobs, encouraging investments and reducing taxes, we do not support tax increases in any form, Mihály Varga stated. As he said: the global minimum tax would hinder economic growth, the planned tax rate of 15 percent is too high, and it should not burden real economic activity either.
The minister said: Hungary made several proposals to improve the regulation, some of which have been ignored for the time being. Our goal now is to have a fair system of rules developed by the OECD meeting in October, which takes into account the interests of all states, regardless of their size and level of development.
Hungary continues its constructive cooperation with the OECD member states in order to reach an appropriate agreement.
The opinion of the Hungarian people will also be sought in the just launched national consultation on the tax increase plans in Brussels and the constitutional protection of the low taxes that burden the work achieved by the government.
Source: MTI
