Are you sure?

Bill increases excise tax on cigarettes, raises mandatory auditing revenue threshold

National Economy Minister Gyorgy Matolcsy submitted amendments to Parliament on Friday that would increase the excise tax on cigarettes and raise the revenue threshold for mandatory auditing.

The amendments were among seven submitted by Mr Matolcsy for urgent debate.

If approved, the excise tax on cigarettes will increase in three steps -- this year, at the beginning of next year and in the middle of next year -- from HUF 18,080 at present to HUF 19,400 per thousand cigarettes from July 1, 2012.

The annual revenue threshold for companies required to have their books audited would rise to HUF 200m from HUF 100m for business years started or starting in 2012 or 2013. The threshold would be raised to HUF 300m for business years starting in 2014.

Another amendment would reduce the excise tax on E85 ethanol fuel blend.

In the interest of cutting administrative costs at catering establishments, Mr Matolcsy proposed scrapping mandatory monthly inventorying at such businesses.

In an amendment to the law on registration tax, the depreciation table for passenger cars will be shortened from 20 to 15 years.