The Public Health Product Tax (NETA) is a Hungarian special tax levied on certain food products and beverages that are considered detrimental to health. The tax is payable by the manufacturer of the product or the first entity placing the product on the domestic market.
Objectives of the NETA
- Public health objective
To reduce the consumption of unhealthy products (e.g. products with high sugar, salt or caffeine content).
To improve the health status of the population, in particular by preventing obesity and related diseases.
- Behaviour-shaping (incentive) objective
To influence consumer choices through price increases.
To encourage manufacturers to reformulate products, by reducing sugar, salt and additive content.
- Budgetary objective
Revenues from the NETA contribute to the central state budget, in particular to the financing of the healthcare system.
Products subject to the NETA
The exact range of products falling within the scope of the NETA is defined by their customs tariff codes.
- Sugar-sweetened soft drinks
Non-alcoholic beverages containing added sugar or sweeteners, where the sugar content exceeds the statutory threshold.
This category includes, for example, flavoured soft drinks, syrups and iced teas.
- Energy drinks
Beverages containing caffeine or methylxanthines (e.g. caffeine, taurine), or other stimulating ingredients above the levels defined by law.
- Pre-packaged sugar-sweetened products
Pre-packaged food products with a high sugar content, such as sweets, candies, chocolates, sweetened cocoa powders and dessert powders.
- 4. Salty snacks
Pre-packaged products with a high salt content, in particular crisps, pretzels, salted bread sticks and extruded salty snacks.
- Flavoured beers and alcoholic refreshment drinks
Low-alcohol, flavoured alcoholic beverages containing sugar or sweeteners, which do not qualify as traditional beer or wine.
- Fruit preserves (jams) and fruit preparations
Where the product contains added sugar and its sugar content exceeds the statutory threshold.
- Flavoured dairy products and milk-based drinks
Products such as flavoured milk and flavoured yoghurt drinks, where the sugar content exceeds the level set out in the legislation.
NETA Tax base
The tax base is the quantity of the taxable product, expressed in kilograms or litres.
NETA Tax rates (vary by product and composition)
- Soft drinks: HUF 8 or 23 per litre
- Syrups: HUF 105 or 310 per litre
- Energy drinks: HUF 65 or 390 per litre
- Pre-packaged sugar-sweetened products: HUF 40, 65, 110 or 210 per kg
- Snack foods: HUF 65, 90 or 390 per kg
- Food seasonings: HUF 390 per kg or litre
- Flavoured beer: HUF 10 or 33 per litre
- Alcoholic refreshment drinks: HUF 10 or 33 per litre
- Fruit preserves (jam): HUF 260 or 780 per kg
- Confectionery: HUF 65 or 210 per kg
- Pre-packaged sweet or savoury pasta products: HUF 65 or 210 per kg
