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Parliament Adopts Law on PIT Exemption for Under-25’s

MTI-Hungary Today 2021.04.28.

Lawmakers on Wednesday passed legislation which exempts the income of Hungarians under the age of 25 from personal income tax.

Under the law adopted with 166 votes in favour and one against, people under 25 will not have to pay PIT for wages below the gross average wage.

The measure will cost the budget 130-150 billion forints (EUR 357m-413m) annually.

PIT Exemption of Under-25s in Hungary to Affect More Than Previously Thought
PIT Exemption of Under-25s in Hungary to Affect More Than Previously Thought

In January, Prime Minister Viktor Orbán announced that from 2022 onwards, young Hungarians under the age of 25 will not have to pay personal income tax. According to the Central Statistical Office (KSH), in next January, around 270,000 youngsters will be affected by the policy. However, new research reveals that the number is closer to […]Continue reading

Also, newlyweds will be eligible for new family tax benefits after they turn 25.

featured image illustration via Tibor Illyés/MTI