Orbán’s oligarchs on edge as Hungary poised to launch wealth tax Hungary’s new administration, led by Péter Magyar, is preparing to implement a wealth tax, a move that targets individuals who amassed fortunes during Viktor Orbán’s 16-year rule. The proposed tax aims to redistribute wealth and ensure accountability, with proponents arguing it’s a matter of social justice. Critics, however, worry about its potential to disadvantage Hungarian businesses and the complexity of its implementation.

• Hungary is poised to introduce a wealth tax, targeting individuals who benefited from the previous Orbán government.
• The new tax is framed as a measure of social justice and accountability, with proposed rates and asset inclusions detailed.
• Several prominent figures who profited under Orbán’s “System of National Cooperation” (NER) are likely to be affected.
• Economists and commentators are divided on the effectiveness and potential consequences of the wealth tax.
• Hungary’s current tax system is characterized by low income and corporate tax rates but high VAT and welfare contributions, disproportionately affecting workers.
• The proposed tax aims to address wealth concentration and inequality, with differing opinions on the appropriate wealth threshold.
• Potential revenue from the tax, alongside other measures like ending trust exemptions, is intended to support low earners and public services.