The government’s latest PIT exemption for people under 25 came into force on January 1, 2022, Norbert Izer, the Finance Ministry’s state secretary for tax affairs, said.
Young people are exempt from paying the 15 percent personal income tax up to the amount of their average income, which means that they can save up to HUF 65,000 a month.
There is an additional tax relief for first-time married couples, he pointed out. If two under-25s get married, young people will be able to claim the first-marriage tax credit for 24 months from the age of 25, rather than the month after the wedding, he said.
The PIT exemption for young people could become a model to be copied internationally. At present, only Hungary and Poland apply such a benefit in the European Union, the state secretary added.
The largest number of people, 367,000, benefited from the under-25s’ discount in July, he said.