Gov't Raising Fuel Excise Tax Refund Threshold for Haulers
Photo by Milos Muller/Shutterstock.com
The government has decided to raise the refund threshold for excise tax on vehicle fuel for haulers from HUF 3.5 to HUF 10/liter from 2024, the Economic Development Ministry said on Tuesday, according to a report by state news wire MTI.
The ministry made the proposal to the cabinet after talks with logistics industry players.
With regard to the measure, the government expects haulers to top up their tanks locally for domestic deliveries, the ministry said.
Haulers may apply the preference to one sub-contractor.
The ministry said it also recommended introducing three types of minimum service fees: a basic fee equivalent to triple the toll for the trip; a loading fee set at a minimum of HUF 10,795 and a downtime fee of at least HUF 8,636.
The fees will benefit haulers who operate "fairly" while serving as a disincentive for businesses that try to win market share through predatory pricing, it added.
The ministry noted the advantages Hungarian haulers enjoy because of the country's geographic location and said Hungary's role as a "meeting point" for capital and technology from East and West also benefit the sector.
Close to 2,500 Hungarian companies are active in logistics. They employ over 280,000 people and account for about 5% of GDP. The government aims to raise the contribution of the sector to GDP to 10% by 2030, the ministry said.
Fuel Prices Move Closer to Avg of Neighboring Countries
Hungary, China to Sign Agreements During Visit by President
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
