The numbers show a clear problem. In the proposed 2027 budget, a tax increase targets a specific group of companies, and Hungarian-owned grocery chains will feel the most pain.
The planned hike is for the retail special tax. Only companies with annual revenue between 1 and 50 billion forints face a higher rate. Their tax will triple, from 0.15 percent to 0.45 percent. Companies earning over 50 billion forints keep the old, lower rate.
This means a company with 25 billion forints in revenue could pay an extra 72 million forints in tax. For a typical mid-sized chain, that could slash annual profit by nearly 30 percent. There is less money for everything else when profit falls that much.
Think about what that money could do. It could go toward:
- store upgrades
- better pay for employees
- energy-saving improvements
- business growth
- community investments
- local advertising
Instead, it goes straight to taxes.
Large multinational chains with revenues above the 50 billion forint threshold are not affected. The tax increase does not touch them. They can keep investing and expanding while their Hungarian competitors face a new financial burden.
This change hits regional chains hard. Names like COOP Szeged, NYÍRZEM from Kisvárda, or Kecskemét’s UNIVER-COOP are directly in the line of fire. These businesses employ hundreds of people in their communities. Their struggle will be felt locally.
The budget also plans to end price caps on basic foods. This means higher prices for you at the checkout for items like milk, meat, and cooking oil. Combined with the tax hike on Hungarian retailers, the strain on both businesses and household budgets is set to increase.
The result is uneven pressure. Large international companies continue under the old rules. Hungarian businesses, especially the mid-sized ones that form the backbone of many towns, face a steeper climb. The 2027 budget choices will reshape the grocery landscape, and not in favor of local ownership.
| Revenue (Billion Forints) | Old Tax Rate (%) | New Tax Rate (%) | Impact on Mid-sized Chains |
|---|---|---|---|
| 0-1 | 0.15 | 0.15 | No Impact |
| 1-50 | 0.15 | 0.45 | Increased Tax Burden |
| Over 50 | 0.15 | 0.15 | No Impact |
