Orbán promises lifelong tax exemption and threatens Pride in State of the Nation address

“This is a global sensation; nothing like it exists anywhere,” Viktor Orbán said at one point in his annual State of the Nation Address on Saturday afternoon. By that point, he had already spent several minutes listing the tax cuts Fidesz would offer to kick-start the campaign ahead of next year's parliamentary elections.

The biggest item will surely be that

mothers with at least two or three children will get a full, lifelong income tax exemption.

The exemption will be introduced in one step beginning in October 2025 for those who have three or more children, while for mothers of two children, it will be done in a phased manner starting in January 2026.

He reiterated, that, as part of the previously presented 21-point economic action plan, the government would double the tax allowances for those with children in two steps, from 1 July and from 1 January. Parents will be able to deduct 20,000 forints for one child, 80,000 for two children, and 200,000 for three or more from their taxes and contributions. According to Orbán, this will affect more than 1 million Hungarian families. The exemption from personal income tax for infant care allowance (csed) and child care allowance (gyed) will also be introduced.

In his annual address Orbán also announced that, following Donald Trump's example, the Hungarian Fundamental Law will be amended to define gender strictly as male or female. In addition, there is a good chance that the Pride parade will be banned, at least, the Prime Minister said that the organisers should not bother planning this year's event because it would be "a waste of time and money".

In response to a request from the Fidesz's parliamentary group, the government is sending an envoy to the United States to investigate which organisations have received money from the US in the last ten years and what sort of funds they have received. Once the data and evidence are gathered, legal and constitutional

measures will be put in place to ensure that "we do not have to stand idly by while pseudo-NGOs serve foreign interests and organise political operations before our very eyes.'"

A new law will be drafted along the lines of the Magnitsky Act, financial resources from Soros's network will be cut off, and the Prime Minister wants state agencies to carry out their obligations to protect sovereignty and to ensure that the law is enforced against those who have been infringing upon it. "We can finish off the Budapest branch of the empire by Easter," the Prime Minister declared.

The government has announced the '100 New Factories' program, aimed at fostering industrial development, expansion, and the creation of jobs. The Prime Minister said that the preparation for technological changes and the challenges of artificial intelligence must be accelerated. To do this, László Palkovics, the Orbán government's former Minister for Innovation and Technology is coming back to work. However, it is not clear exactly what position he will take up.

Orbán has instructed Minister for National Economy Márton Nagy to reach an agreement with retail chains to stop food price rises, as he considers their level unacceptable.

"If we can't do it amicably, we will do it by imposing official prices (...) If we cannot reach an agreement, we will impose officially regulated prices, and if that is insufficient, we will cap commercial profit margins".

At his annual address, Viktor Orbán also said that

• in the second half of the year, pensioners will receive VAT reimbursements on vegetables, fruit, and dairy products, up to a specified monthly limit.
• Hungary does not support Ukraine's membership in the European Union.
• The right to using cash will be enshrined in the Constitution, a move initially proposed by the far-right Mi Hazánk.
• Small villages will be given the right to self-defence to preserve their character and heritage and prevent people from moving in. The prime minister did not specify exactly what he means by self-defence.
• Under a new legislative amendment, Hungarian MEPs will have to fill out the same declaration of assets and liabilities as Hungarian MPs are already doing.
• The government is committed to combating drug use, particularly 'cheap toxic concoctions and synthetic substances,' at all costs. To this end, Orbán will appoint a government commissioner, enforce zero-tolerance policies, and intensify efforts to track down drug traffickers.