Importance of Local Taxes in the Budget of Hungarian Local Governments – Focusing on Tourist Tax

Absztrakt

Primary revenue sources of Hungarian local governments are local taxes. During budgetary planning, municipalities focus firstly on payment obligations of local undertakings, regarding not only local business tax, but also other local taxes. The relevance of this analysis has been in the forefront due to the economic recession caused by pandemic since almost all Hungarian local governments need to reorganise their budgets. The situation is aggravated by changes in legal conditions concerning new regulations on tax payment, the freezing of local tax rates and the suspension of government grants for resort activities. The aim of this research is to analyse the structure of local tax revenues in touristic municipalities.