Index – Economics – György Gémesi: It is vile cynicism to call this crisis management



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Viktor Orbán’s announcement to cut corporate tax in half without any substantial consultation may result in the execution of Hungarian self-government and the inevitable bankruptcy of many Hungarian settlements.

– This is how President György Gémesi reacted on Facebook, on behalf of the Association of Hungarian Local Governments, to the Prime Minister’s announcement on Facebook that the tax on business activities of small and medium-sized businesses and sole proprietors will be cut in half as of January.

According to him, this is not responsible governance, it is cutting back.

We find it immeasurably repulsive that the prime minister is using the coronavirus epidemic, which is killing thousands of Hungarians, to settle scores with municipalities not led by Fidesz.

Statement from the Presidency of the Association of Hungarian Local Governments The execution of the Hungarian local government, several Hungarians …

Posted By Free Cities – Saturday, December 19, 2020

As he wrote, the business tax provides the majority of the municipalities’ own revenue, of which the municipalities operate public services, from public lighting to waste management and road maintenance to metropolitan public transport, from which They provide social, child welfare and health assistance.

Today, the Prime Minister’s static announcement could deprive millions of Hungarians of the services they deserve, regardless of who they voted for in municipal elections.

Call this crisis management vile cynicism. It almost does not mean help for companies in crisis, but it makes it impossible for the local governments that provide them and can help them in specific ways.

He pointed.

That’s

“Well that’s when it’s done, Orbán has executed the local government,” wrote the mayor of Budapest on his Facebook page. The mayor noted that for thirty years the business tax has been the most important basis of public services provided by local governments, according to him.

halving it does not address the crisis, but deepens it.

Also added business “This does not mean significant help”, because the tax rate is quite low and must be paid based on income anyway: whoever has problems pays less first.

This announcement by the prime minister has nothing to do with dealing with the economic crisis, it has nothing to do with the cynical politicking of power. For municipalities on the brink of ruin anyway, today’s announcement is execution itself

Said the mayor.

They support

The Association of Peoples with Comarcal Rights supports the government’s new economic protection measures, said Károly Szita, president of the Association of Peoples with Comarcal Rights (MJVSZ), in response to the economic protection measures announced by Viktor Orbán.

He reported that the leadership of his organization had discussed with Prime Minister Viktor Orbán and several members of the government about the economic effects of the coronavirus epidemic, as well as the possibilities and means of crisis management.

According to the MJVSZ, it is the joint responsibility of the government and local governments to ensure that the economy is strong, families are strong and that as few people as possible get sick as a result of the coronavirus epidemic. Therefore, it must be done together.

The measures announced by the Prime Minister are necessary because, by protecting the economy, it is possible to achieve a place to work and that parents can support their families. Halving the tax on small and medium-sized businesses simultaneously serves to maintain jobs, create new ones, strengthen the economy and protect people. To achieve the goal, the large Hungarian cities will also prepare an epidemiological budget for 2021, that is, we will subordinate everything to strengthening the security of families.

– said Károly Szita.

As honorary president of the Association of Peoples with County Rights (MJVSZ), Lajos Kósa declared to the Hungarian Nation that the government would endeavor to support local governments.

The key issue in a crisis of this type is to protect wages and employment.

Lajos Kósa detailed what was said at the meeting.

He explained: “If there were no jobs or job-creating companies at the end of the crisis, there would be no pay and there would be no recovery from the crisis. The best way to do this is by cutting taxes: we don’t take it away from the cities, we leave the money to the entrepreneurs and the people ”.



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