Hungary's taxes are among the highest of the European Union's new member states, although its overall taxes are somewhat below the EU average, say figures published by the community's statistics agency Eurostat.In 2004, Hungary's central budget collected 39.2 % of GDP through taxes and social security contributions. This rate was a tad higher, 39.9%, in Slovenia, and lower everywhere else among the EU's new entrants.
The overall EU average was 40.7%, Eurostat's report said. It added, however, that in 2005 Hungary had reduced taxes to 38.8 % of GDP, and further cuts were expected in 2006. Lithuanian taxpayers enjoy the lowest taxes in the community. In 2004, taxes in Lithuania made up only 28.7 % of GDP. The highest taxes are levied in Sweden (51.2%) and in Denmark (49.95%), the report said.