NewsCase StudiesEvents

Taxation in Hungary

Hungary

Taxation in Hungary

Recent forum posts

 

  1. Which free zone in the UAE is the most cost-effective

    When it comes to starting a business in the UAE, both the free zones and the mainland offer a fantastic environment with plenty of prospects for new businesses. If a person wanted to create a business linked to general trading in a free zone area, the best free zone in terms of cost would be Um Al-Quwain.Sharjah Media City (Shams) is also a leading media and digital hub with cutting-edge facil

    Total Posts: 1 Last post by tvgconsultancy1

  2. Do You Need A Financial Help

    Do you need Finance? Are you looking for Finance? Are you looking for finance to enlarge your business? We help individuals and companies to obtain finance for business expanding and to setup a new business ranging any amount. Get finance at affordable interest rate of 3%, Do you need this finance for business and to clear your bills? Then send us an email now for more information contact us Than

    Total Posts: 1 Last post by serviceoffer

Taxation in Hungary

Income Tax

Income tax rates are:

  • 18% on income between 1 and 1,700,000 HUF

  • 36% on income of 1,700,001 and over

Capital Gains

Individuals pay 16% capital gains tax. Hungarian companies pay the same rate of capital gains tax as the regular company income tax imposed. A rate of 20% tax is paid on capital gains from sale of shares in EU and OECD.

Corporate Tax

The corporate tax rate in Hungary is currently 10%

An employer is required to deduct tax at source and also deduct a certain percentage from the income of their salaried workers for social insurance.

Value Added Tax

Value Added Tax is payable at a rate of 27%, and reduced rates of 5% = 18% on certain products.

Social Security

If you are a salaried worker on the payroll in Hungary, you will be given a Social Security card, which means you are entitled to public medical treatment.

Employees pay the following rates of social security contributions:

  • Pension contribution: 8.5%

  • Health care contribution: 4%

  • Unemployment contribution: 1%

The social security system in Hungary provides the following services:

  • Health service

  • Social care

  • Family and Child welfare

  • Pensions

  • Unemployment aid

  • Education

Those in full or part-time employment, members of cooperatives, or those who are either self-employed or entrepreneurs, and their family members, are all covered by the social security system.

However, many of the foreigners choosing to live and work in Hungary permanently are

investing in private healthcare cover or they are negotiating cover as part of their employment.

The pension system (for those who are insured) provides retirement benefits in the eventuality of:

  • Old age (62 with at least 20 years of work)

  • Death, leaving a widow or widower and/or dependents

  • Disability and accidents resulting in disability

Click here to Ask an Expert about Taxation in Hungary

Organisations that can assist with Taxation

    You are not logged in!

    Please login or register to ask our experts a question.

    Login now or register.