In order to create some semblance of fairness, we need exact figures based on known documentation. On such figures, we create a new tax system. But for this we would need consent for a wholly new way of dealing with data. With modern-day information technology and telecommunications it is not impossible to create a system to keep track of precisely how much every tax subject gives and receives. But it would mean that every last toddler and every last granny would need to have an electronic account which would keep track of the money flowing in and out of the state coffers.

The new accounts would be opened with a value of zero at 00:00 on the first day of the year when the new system was introduced. And until they were eventually closed, every item of income and expenditure would be tracked. Assuming that there are 10m tax subjects, then let there be a VAT payment to the treasury of HUF20m. Every account would record a remittance of HUF+2. The same would go for expenditure, and the account balance could turn negative. The accounts could gradually be customised, with state subsidies and hand-outs being reflected in the account. Family allowances and pensions would appear on the account. Payments would be reflected in the same way: tax payments and other contributions would cause the balance to fall.

This would have the effect of merging each tax subject's various tax, social security and other accounts. The real problem would be the sales taxes, which make up 50 per cent of state revenues, as well as state subsidies concealed inside various services. Here, a kind of 'bank card' would be of help. For it to work, the task of each subject would be to attempt to bring the balance of his or her account to as close to zero as possible. This would only be a theoretical aim - in practice, everyone's aim would be to push the balance as high as possible.

Attila Michnai is a tax expert.