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Hungary plans to tax Internet service providers as of 2015 [IntelliNews - Weekly Reports](IntelliNews - Weekly Reports Via Acquire Media NewsEdge) The Hungarian government plans to impose Internet levy as of 2015, according to a draft on the changes to the tax regime submitted to the Parliament on October 21, portfolio.hu reported. The changes include an amendment to the telecom law that envisages the telecom tax to be extended to Internet service providers. The new tax will be HUF150 on every started gigabyte of data. Otherwise, the government's tax plans does not envisage any major changes. The 10% levy on corporate income of SMEs and the 19% tax for big businesses will stay unchanged. However, the government's long-term plans envisage the introduction of a flat-rate corporate tax rate, Varga said. The VAT rate will also be kept at 27% but the preferential 5% VAT rate for pork will be expanded to cattle, sheep and goats as well. As regards to the extraordinary taxation, the bank levy and advertising tax will remain in place. Referring to personal income taxation, the government said it plans to launch a single-digit flat-rate in the longer-term. PM Viktor Orban said in June he will be seeking to lower the personal income tax rate from 16% at present to below 10% by the end of his government's term in 2018. (c) 2014 Emerging Markets Direct Media Holdings LLC Provided by SyndiGate Media Inc. (Syndigate.info). |