As early as the dawn of the 20th century, the chief prosecutor in the famous novel Rokonok (“Relations”) by Zsigmond Móricz already said that “there is but one problem in Hungary, and indeed, an enormous problem: the people of Hungary do not like paying taxes … no one does”. Apparently, the situation is quite the same almost a century later. People still find that taxation is a kind of forced deprivation from property without any direct service in return, instead of thinking of taxes as their contribution to the production of public goods for the overall benefit …

An income tax is a tax perceived on the income of individuals. Various income tax systems exist, with varying degrees of tax incidence.

Income taxation can be progressive, proportional, or regressive and often tax the total income of the individual, with some permitted deductions.

Personal income tax is often collected on a pay-as-you-earn basis, with small corrections made soon after the end of the tax year. Personal income tax varies in value from country to country, national governments remaining in control of raising this tax, EU only keeps an eye, so that they are …

2012 brought changes to VAT tax rates across Europe.  Most changes are effective from January 1, 2012, while some European countries have already announced changes to VAT rates, coming into effect later, during 2012.

Bulgaria proposes 1% VAT cut, to the existing 19% VAT in place. Cyprus  proposed 2% VAT increase in 2012. The Czechs submitted a VAT cut proposal for 2013, while their Reduced VAT rate increased starting January, to 14%. France also anticipates a raise of the French standard VAT Rate in 2012.

In December 2011, Italy announced the second austerity VAT rise of 2%, from 21% …