Varga: Tobacco, ad tax justified

Banking

Economy Minister Mihály Varga defended the proposed amendement to the advertisement tax and the progressive tax aimed at tobacco manufacturers yesterday in an interview with commercial channel ATV.

Commenting on the revision which targets advertisement revenues in the higher tax bracket, the Economy Minister said he did not see anything wrong with the hike, "given that if someone dominates the market and makes a profit on the vast majority of the revenues generated there, then we have decided correctly in this matter". Varga suggested that the tax would contribute to the state budget to support important social, health-care and educational goals.

On the proposed one-off progressive tax on tobacco manufacturers, Varga said that since 2010 the government is determined to cut back on smoking as it is a seriously health risk and carries with it major social spending costs. Furhtermore, the EU requires that the amount of the tax be close to the European average from year to year. If the change to the tobacco tax affects bigger players to a larger extent, then "I can accept that," he added.

ADVERTISEMENT

Job ads in hospitality, tourism sector grow drastically  Analysis

Job ads in hospitality, tourism sector grow drastically 

Lawmakers approve 2022 budget Parliament

Lawmakers approve 2022 budget

Duncan Graham reelected as BCCH president Appointments

Duncan Graham reelected as BCCH president

Budapest launches revamped coupon card for visitors City

Budapest launches revamped coupon card for visitors

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.