Substantial reductions in Hungary’s taxes and contributions are necessary, Prime Minister Ferenc Gyurcsany said on Monday after meeting with economists.
The government will propose tax, contribution and employment reform, Gyurcsany said. Substantial changes and a significant correction in scale are necessary, he added.
Nobody disputed at the meeting that the tax burden on labour must be reduced, Gyurcsany said. All of the economists proposed that an economic and social programme extending for 3-4 years should be created, to span beyond parliamentary elections due in 2010.
During this period, a substantial reduction in redistribution is necessary and the centralisation of taxes must be decreased which will require spending cuts, Gyurcsany said.
Gyurcsany said it was also necessary to resolve a conflict some ten years old, namely that for social and political reasons it was impossible to introduce necessary economic measures.
The meeting was also attended by Finance Minister Janos Veres and Economy Minister Gordon Bajnai.
The question is, why did it take so many years for Gy and Co to figure this out? As to GY coming up with a programme to span beyond the election will he also take in ideas from the opposition? Or will it be more along the lines of poisoned chalices?
The opposition has been asking for tax cuts and a comprehensive tax reform since forever. A few months ago Gyurcsany called it “voodoo economic” and some other names.
The opposition recommended Nabucco and importing liquified gas from the Arabs. Gyurcsany called these ideas unnecessary waste.
Now, when economy hit bottom, Gyurcsany wants tax cuts.
Now, after the gas crisis, he’s negotiatin with the Arabs and he’s the champion of Nabucco.
This guy is either too dumb to see what’s happening or it’s his policy not to listen to anything coming from the opposition. Either way we’re screwed.