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FINMIN: DECLINE IN HUNGARY TAX-TO-GDP RATIO LARGEST IN EU

 

The decline in Hungary’s tax-to-GDP ratio last year was the largest in the European Union, Finance Minister Mihály Varga said on Friday, citing data compiled by Eurostat. The Eurostat data show that the share of taxes and social contributions as a percentage of GDP in Hungary fell to 34.0% in 2021 from 36.1% in 2020. The average tax-to-GDP ratio for the EU as a whole stood at 41.7% in 2021. “The government continued to cut taxes this year, too, reducing employers’ taxes by 600 billion forints (EUR 1.46bn), preserving the country’s top position among EU countries in 2022 as well,” Varga said on Facebook.