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Tax on rich a possibility, says govt MP

Government MPs have been mulling the idea of a special provisional 'solidarity' tax on high-income individuals, Christian Democrat MP István Pálffy said on a radio talk show yesterday.

The tax would be levied on individuals with above a certain level of income as a 'solidarity' measure in this [difficult] situation, explained Pálffy, wihout giving any specific figures.

The move would be a complete reversal of the Orbán government's flat tax policy, which Fidesz continues to tout as a success despite an ever louder chorus of critical voices which all but branded it an utter failure.

Last time around, former KSH head and conservative economist Tamás Mellár said the latest economic trends in Hungary have proved beyond doubt that the government's economic policies are inadequate, or "to put it more bluntly, they have proved a failure".

Prime Minister Viktor Orbán last week said the government would not give up plans to "build up a proportional tax regime" without touching on the subject of flat taxation. Later that week Péter Szijjártó,  the Prime Minister's spokesman, reaffirmed the government's committment to proportional taxation.

Late yesterday, Pálffy hastened to dissmiss his words on the solidarity tax by declaring the government's flat tax policy a success, adding that no further discussion was needed on this subject because the idea of a solidarity tax has not been formally discussed.