Fidesz set out to turn Hungary into a low and simple tax country. Realising one of its central campaign promises, it introduced a flat income tax early in its term. With the reality of the declining economy and the budget crunch setting in, however, both low and simple are out the window. Fidesz is introducing tax hikes and new taxes at a rapid rate.

Even the flat tax is gone, at least temporarily. One might argue with many specifics, but it is also important to recognise that to avoid a greater disaster, the government has no alternative but to rein in the looming deficit and debt crisis next year.

Policy Solutions' analysis on the new taxes introduced by the Fidesz-government can be downloaded from here.