"Hungary's government is planning to cut taxes by a larger than expected 300 billion forints ($1.64 billion) from 2009, business daily Vilaggazdasag said on Tuesday without citing named sourcesThat figure is equivalent to about one percent of gross domestic product (GDP) and is larger than the 200 billion forints mooted last week by Prime Minister Ferenc Gyurcsany.
Finance Minister Janos Veres earlier said that just 100 billion forints was available for tax cuts. Government officials were not immediately available for comment.
The issue of tax cuts has triggered tension within the ruling Socialist-Free Democrat coalition as the smaller Free Democrats wanted tax cuts worth up to 600 billion forints in 2009.
Although the government has put Hungary's finances back on track after posting a budget deficit in 2006 of 9.2 percent of gross domestic product, largely as a result of tax rises and increases in the cost of subsidised goods, its popularity has slumped.
The next general election is in 2010."
Source: HVG
14.02.2008