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With tax burden on seasonal agricultural works also doubling

Hungarian food prices are third-highest in the EU

Hungary has the third-highest price increase for unprocessed goods in the European Union. A recent Eurostat report confirmed that the domestic price increase is the third highest in the EU. Economist Márton Nagy commented that shopping at Hungarian supermarkets was considerably cheaper a year ago compared to many EU countries. According to¸ the GKI Economy Research presumes that the record low forint and the minimum wage increase are the reasons behind the skyrocketing food prices in Hungary.

The governmental decree on “taxes on extra profits” will substantially increase the employment tax on temporary work. Temporary work is based on simplified employment rules in the Hungarian legislation, and includes four categories: Seasonal agricultural work, seasonal touristic work, unspecified temporary work, and acting work as a motion picture industry extra.

The governmental decree establishing the “tax on extra profits” changes the tax burdens on these categories as of July 1, 2022. The tax on the employment of agricultural and touristic seasonal workers will double from €1.27/person/day to €2.54/person/day.


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