Government submits proposal to double tax allowance for families raising children
The family tax credit is planned to be implemented in two steps, from July 1 next year and January 1, 2026.
The family tax credit is planned to be implemented in two steps, from July 1 next year and January 1, 2026.
The new bill would double tax preferences for families with children, extend the preferential VAT rate for home purchases and phase out some taxes on businesses.
The fourth pillar will support physical, mental and spiritual health.
Hungary’s government sees the family as the basic unit of society and family support as inseparable from work.
Living standards for the majority of Hungarians has improved, with the income of families with children up 13 percent last year.
The government’s family protection scheme, which is being continued despite the economic fallout of the coronavirus pandemic, has helped over 220,000 families so far.
On Tuesday, the government submitted a proposal to amend the Hungarian Fundamental Law, intended to strengthen the protection of Hungarian families and the safety of our children.
Katalin Novák said next year’s budget allocates HUF 2,500 billion (EUR 6.9bn), or 5 percent of GDP, to family affairs.
Katalin Novák, the incoming minister without portfolio for family affairs, said in parliament that she was preparing for drafting Hungary’s largest-scale home-creation program.
The Hungarian government does not want to see couples who decide to have children be at a disadvantage compared to those who choose not to have any.
The government is not taking away any family support because of the epidemic and, in fact, will expand it.
Katalin Novák said the Hungarian government’s family protection action plan was one of last year’s “greatest gains”.
The Family Protection Action Plan was launched by the Hungarian government in February and has since grown into an impressive success story.