Socialists to present economy boost package

The main opposition Socialist Party will submit a seven-point package of measures to boost the economy to parliament starting its spring session next week, MP Istvan Tukacs said on Saturday.

The introduction of a 'beer mat-sized tax return' has failed to result in simpler taxation, Tukacs said. What's even worse, the new personal income tax system has not fulfilled its goal to boost the economy, encourage consumption and create jobs, he added.

The Socialist plan seeks to introduce progressive taxation with two rates, Tukacs said. Higher taxes must also be reintroduced on capital gains and burdens on businesses need to be eased not in the form of taxes but dividends, he added.

Ruling Fidesz party spokeswoman Gabriella Selmeczi said that during eight years in government, the Scoalists had made some five hundred proposals to boost the economy and the result was a fully indebted country on the verge of bankrupty in 2010.