Digital tax reduction

The objective of the Digital Success Programme is to remove all barriers to someone becoming an Internet user. Therefore, on the proposal of the government, the VAT on internet subscriptions has been reduced in Hungary in an unprecedented volume, in two steps, from 27% to 18% from 1 January 2017 and from 18% to 5% from 1 January 2018.

With the tax reduction, Hungary became the lowest internet tax among the European Union member states. Our goal is that in 2018 the proportion of regular Internet users in Hungary will exceed 80 percent and thus Hungary will be among the countries with the best indicators within the European Union. Thanks to the first step of the VAT reduction, the price of all internet subscriptions decreased by 7-9%, leaving HUF 13-15 billion for Hungarian families. In 2018, with the new tax reduction, the price of internet access in Hungary will be 17-18% cheaper, which will leave a total of HUF 35-40 billion more in the pockets of Hungarian citizens and businesses in two years.

For those who find the internet expensive even after the VAT reduction, the discounted Digital Success Basic Package can help them enter the digital world.

Thanks also to the developments of the Digital Success Programme, by the end of 2020, the proportion of regular Internet users increased from 72 % to 80%, therefore Hungary improving five places and holds 14th place among Member States. The country jumped from 16th to 7th place in terms of access to broadband wired and wireless network, compared to 2019.