Home made pálinka now taxed at HUF 700 per liter

EU

The Hungarian Parliament today approved legislation raising the tax on the home distillation of pálinka, the traditional Hungarian fruit-based spirit, to HUF 700 per liter, in order to comply with a ruling by the European Court, Hungarian news agency MTI reported.

Under the new law, Hungarians distilling pálinka at home for their personal consumption are required to purchase so called “distillation stamps” as of January, for every liter of pálinka produced, MTI said, adding that individuals can buy from five to 86 of the stamps.

In 2010, legislation was approved allowing Hungarian households to distill the equivalent of 50 liters of pálinka annually for personal consumption – free of tax.

Later, lawmakers raised the excise tax on palinka distilled for private consumption by contract distillers to 50%, while introducing a flat tax of HUF 1,000 per year for Hungarians who distill pálinka at home – in order to comply with an EU directive on the normal excise rate for such distillates.

But the European Commission asked Hungary to take further measures, and hence the new law, MTI reported.

MOL Shareholders Approve Dividend of Around HUF 250/Share Figures

MOL Shareholders Approve Dividend of Around HUF 250/Share

Gov't Awards HUF 6.5 bln of Subsidies to SMEs in Underdevelo... Government

Gov't Awards HUF 6.5 bln of Subsidies to SMEs in Underdevelo...

Hungary's Largest ESG Consultancy Formed by Merger of EY, De... Deals

Hungary's Largest ESG Consultancy Formed by Merger of EY, De...

Liz & Chain Rooftop Bar Debuts Sustainable Cocktails Drinks

Liz & Chain Rooftop Bar Debuts Sustainable Cocktails

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.