Friday, May 1, 2015

Hungary Poultry Products Council: Pork tax breaks unfair

  • Freeimages.com/morderska
    Hungary's Poultry Products Council says government is giving the pork industry preferential treatment over the poultry industry.
    From WATTAgNet:
    The Hungarian Poultry Products Council says the Hungarian government is giving the pork industry preferential treatment over the poultry industry through tax breaks.
    The government has recently approved a reduction on value added taxes (VAT) on unprocessed pork from 27 percent to 5 percent. Meanwhile, the VAT for poultry remains unchanged at 27 percent.
    The measure will make it more difficult for Hungarian poultry farmers to be competitive, the council stated. The council added that the average Hungarian consumes about 32 kilograms of poultry annually, compared to the 28 kilograms of yearly pork consumption per person.
    State Secretary András Giró-Szász said the Hungarian government decided to lower the VAT on pork as Hungarians spend more money on pork than they do on poultry, and because it wanted to provide a disincentive for tax evasion in the swine sector, according to a report from MTI.
    It is estimated that the reduction on taxes for pork will allow a Hungarian family will be able to save about HUF16,000 (US$57.35) on an annual basis.

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