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What Will Happen to the KATA Tax Now? These Could Be Péter Magyar's Plans

Summary by economx.hu
The amount, but also the monthly payment, of the itemized tax for small-taxpaying businesses, i.e. KATA, is increasing. Péter Magyar spoke about this on Saturday. Little is known about the details yet, but we tried to outline what the once popular tax type could look like from January.
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According to some opinions, the increase in the KATA item tax up to a certain value limit is not considered a real tax increase, but rather a missed correction in line with the increase in the minimum wage. In order to maintain social security entitlement, it could be justified to increase the monthly burden to up to 130 thousand forints. This could be supplemented by a progressive tax with a rate of 40 percent, which would serve to reduce exces…

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It would be possible to invoice companies again, to do kata as a side job, but the monthly itemized tax would increase significantly. According to the tax expert who spoke to our newspaper, many questions remain open. The post The government would bring back a different kind of kata – the tax expert was surprised first appeared on 24.hu.

·Budapest, Hungary
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The Prime Minister announced in Szolnok that he may significantly increase the kata tax next year. The decision did not come as a complete surprise to those affected, but even they do not know the details.

The amount, but also the monthly payment, of the itemized tax for small-taxpaying businesses, i.e. KATA, is increasing. Péter Magyar spoke about this on Saturday. Little is known about the details yet, but we tried to outline what the once popular tax type could look like from January.

The reintroduction of KATA has been on the agenda for months, and now more and more details about the new system are emerging. In the spring, it was only known that the tax form, which was significantly transformed in 2022, could return to a wider audience, in June the government confirmed the introduction in 2027, and now Péter Magyar has announced new details. According to the plans, companies could be invoiced again, part-time entrepreneurs, …

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Pénzcentrum broke the news on Monday, September 28, 2026.
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