Finance Minister Kármán says court ruling does not halt solidarity contribution payments

In a recent post, Finance Minister Kármán András explained that the Alkotmánybíróság's September judgment concerned only the legality of the procedures used to determine and collect the solidarity contribution from municipalities, not the tax's constitutionality. The court highlighted missing procedural and appeal guarantees for local governments, but the existing regulation stays effective through December 31, so payments can continue.

Kármán stressed the government's willingness to engage in substantive dialogue with municipalities to redesign the system in line with constitutional requirements and fiscal predictability. He warned that public debate alone will not resolve the issue unless the court's decision is accurately interpreted. The article also references earlier court rulings, including a July decision by the Fővárosi Ítélőtábla that the state cannot arbitrarily set the contribution rate, and comments from Magyar Péter in May about the need for municipalities to receive the contributions. An October agreement between the government and Budapest provides a one-off support package enabling the capital to settle its contribution obligations and certain debts, without specifying the amount.