Hungary

Tax Alerts 

Our regular newsletter provides you with updates on the latest changes of tax and accounting regulations - get first-hand news via e-mail as soon as a new rule is being approved.
New tax laws accepted by the Parliament
The outgoing Minister of National Economy submitted a new tax proposal to the Parliament that was finally accepted on 8th April.
New tax law changes on the horizon
On 1 March, 2013 the outgoing Minister of National Economy submitted a new tax proposal to the Parliament. We inform our clients about the details.
tax-benefits-available-in-free-entrepreneurial-zones-rollup
Tax benefits available in Free Entrepreneurial Zones
In our tax alert we would like to draw our clients' attention on tax benefits available in Free Entrepreneurial Zones.
Re-directing 1% of your personal income tax liability
Individuals are entitled to support good causes by reallocating 1%+1% of their already paid taxes with their 2012 Hungarian tax returns filed in 2013.
Year end; Tax Law refinements
Our Tax Alert summarizes the additional tax law modifications launched in the 178th Hungarian Official Gazette.
Summary of the provisions of the new Act on Insurance Premium Tax
In our tax alert we summarize the provisions of the new Act on Insurance Premium Tax.
New considerations in the determination of an Economic employer
In our newsletter we draw the attention of our clients to the new considerations in the determination of an Economic employer.
New taxation forms for small sized entities
In our newsletter we inform our clients about the new taxation forms for small sized entities and the action plan on the safeguarding of employment.
Tax Amnesty will be over by 31 December 2012
In the tax alert we draw your attention on the end of tax amnesty in 31 December 2012 and some useful information regarding the topic.
The Judgment of the European Court of Justice on the conditions of input VAT deduction and the restrictions in the regulations and practices of a Member State
On 21 June 2012, the European Court of Justice (ECJ / the Court) announced its judgment in the joined cases of C-80/11(Mahagében) and C-142/11(Dávid).
New Government decree expected to be accepted on the rules of the direct cash grant assessed by the Hungarian Government
New Government decree expected to be accepted on the rules of the direct cash grant assessed by the Hungarian Government.
The deadline to submit the announcement relating to civil defense contributions is imminent
In our tax newsletter, we would like to draw your attention to the civil defense contribution and to the most important procedural rules.
More safety in research and development
We would like to draw your attention to the changes relating to research and development activities, which entered into force this year.
Change in the deadlines for VAT refund claims
Change in the deadlines for VAT refund claims
In our tax alert, we would like to draw our clients’ attention to the change in the deadlines for VAT refund claims as from 1 February 2012.
Hungary: Tax audits
Hungary: Tax audits from a combined green tax/VAT perspective
Recently the Hungarian tax authority started conducting special tax audits from a combined green tax/VAT perspective.
December deadline
Until the end of the year…
As the 20th December deadline for tax top-up liability approaches and new tax rules will be introduced next year, here is a summary of the key tax issues to take into consideration this year.
Changes are expected in the vocational contribution system
A new proposal on vocational contributions was submitted to the Parliament with the aim of changing it radically.
The proposal amending excise duty and gambling tax legislation has been accepted
In the late afternoon on September 26, the Parliament accepted the proposal to amend certain tax laws in order to contribute to the stability of the state budget.
Proposed amendments to the tax law 2012
In to the speech of the Minister of National Economy on 16 September, the anticipated headline numbers of the budget and the main proposed tax changes for 2012 were presented.
Interim changes in the excise duty and gambling tax legislation
On 12 September, the Government submitted a proposal to the Parliament, the primary aim of which is to ensure more revenue to the state budget and to reduce the administrative burden of certain entities.
Changes in the social security and personal income tax legislations
In our Tax Alert we would like to draw our clients’ attention to some practical issues and legislative changes in July.
ECJ: The state cannot endlessly postpone VAT refunds
According to a recent decision of the European Court of Justice (‘ECJ’, or ‘the Court’)...
New Act on real estate investment trusts (REIT)
The proposal on real estate investment trusts (REIT) – regarding which we wrote earlier – has been approved. The new legislation (including the registration, operation and taxation rules for Hungarian REITs) is effective as of 27 July 2011.
The Hungarian Parliament has accepted the Public Health Product Fee Act. The new Act will come into force on 1 September 2011.
The Act will levy taxes on products (food and drink), which are considered to be unhealthy and a danger to public health.
Parliament accepts amendments of specific economic acts
The Hungarian Parliament has accepted a proposal regarding amendments of certain economy-related acts.
The Parliament has accepted the new proposal regarding the transformation of the Environmental Product Charge legislation
A new proposal has been accepted by the Parliament, aimed at transforming the basics of the environmental product charge legislation. An amendment submitted just before the final vote made fundamental changes to the new act.
Several provisions of the Act on PIT and the Tax Amnesty Rule are to be amended
A proposal has been presented to the Parliament, to amend certain economy-related acts. The proposal would expand the applicability of the tax amnesty rules introduced last year, as well as amending certain provisions of the Act on PIT.
New Real Estate Investment Trust regime to be introduced in Hungary
The proposal on real estate investment trusts (REIT) was submitted to the Parliament by a ruling party MP on 14th June, 2011. The draft includes the registration, operation and taxation rules for Hungarian REITs.
Environmental Product Charge legislation is to be substantially reconstituted
A new proposal has been presented to the Parliament, the purpose of which is to transform the environmental product charge regulations; although maintaining the basic approach of the current system.
Tax proposal in connection with subsidising certain sports
As already mentioned in a previous Tax Alert, a proposal was submitted to the Parliament on 31 May 2011 in connection with subsidising certain sports.
Obligations related to the 30% withholding tax
In this tax alert we draw your attention to the upcoming administrative obligations related to the 30% withholding tax on certain foreign outbound payments.
Changes of invoicing decree in 2010 regarding sample numbering
Following several changes to the invoicing decree (24/1995 decree of the Ministry of Finance) in the course of 2010, a number of formal invoicing requirements became less strict.
Payment changes to the Hungarian mandatory private pension fund system
On 25 October the Hungarian parliament accepted Act 101 of 2010 on mandatory private pension funds which contains provisions to temporarily redirect private pension contribution payments to the state budget for the next 14 months...
Sector specific surtax
Based on an independent proposal of a Member of Parliament, the act on sector specifi c surtax was accepted by the Parliament on 18 October 2010
VAT on R&D activities
The European Court of Justice (ECJ) decided that the activities of a company including research and development work relating to the environment and technology must be classifi ed as ‘services of engineers’ for VAT purposes within the EU.
On 22 July 2010, the Parliament accepted amendment of some tax rules
In this tax alert, we summarize the most relevant amendments.
Tax-netural donations
The Hungarian Parliament has agreed an amendment to the VAT Act to abolish VAT liability on donations, coming into force on 17th June 2010.
APEH on rehabilitation contribution
In this Tax Alert, we would like to draw your attention to the Hungarian Tax Authority guideline regarding the rehabilitation contribution.
Changes in the European Union social security coordination
The coordination of social security benefits for employees moving within the European Union is by reference to EC Regulation 1408/71. This regulation will to be replaced by EU Regulation 883/2004 as of May 1, 2010.
Changing rules in respect of assets transferred without charge
In this tax newsletter, we draw your attention to the mid-year changes in corporate tax law regarding the transfer of assets without charge.
U.S. – Hungary Treaty update
We would like to draw attention to the new comprehensive income tax treaty signed by the US and Hungary on 4 February 2010.
Constitutional Court's decision on wealth tax
In this alert we briefly inform our Clients about the recent Constitutional Court’s decision on wealth tax.
In this alert we briefly inform our Clients about the recent Constitutional Court’s decision on wealth tax
The Constitutional Court’s 26, January 2010 decision retroactively annulled the regulations of the Wealth Tax Law relating to real estate.
Wealth tax regulations
In this tax alert we would like to summarise the newly implemented wealth tax regulations.
Changes in the conditions for the development allowance
In this tax alert we would like to draw your attention to the changes in the conditions to obtain the development tax allowance granted for investments creating new jobs.
Donation of one percent of personal income tax paid
We would like to draw attention to the opportunity, also available in 2010 and method of donation of one percent of personal income tax paid.