The parliamentary group of governing Fidesz will draft a proposal on Monday scrapping the 3% limit on the building tax collected by local councils, MP János Lázár said at a press conference on Friday.
The 3% limit is contained in amendments to legislation submitted by the government to Parliament a week earlier.
"The state decides which taxes it wants to collect, and beyond that local governments have to decide for themselves which taxes they want to collect," Lázár said. "No restrictions should be placed on the scale and type of taxes that local governments may collect," he added.
All revenue from local taxes ought to stay in local government coffers, he said, answering a question.