News

HUNGARY | Update of Value Added Tax 2017

Several VAT rates are used: it has been long overdue in the case of food, the reduction of VAT in hospitality has not really been thought out in detail, and the reduced VAT rate of the Internet is rather a political will than an economic decision. The reporting obligation concerning online billing is significantly tightened […]

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HUNGARY | Update of personal income tax 2017

The personal income tax has been amended on several points during the year as well. In the following part we present those changes in SZJA, KATA and EHO (health care contribution) that are considered the most important and have taken effect since 16 June 2016 or will take effect from 1 January 2017. SZJA (personal […]

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HUNGARY | Changes of Corporate Tax 2017

Corporation tax was changed during the year, in order to carry out the “OECD BEPS Action Plan”, and in the autumn two amending packages were brought to the Parliament, which already include new rules for 2018 as well. Since the new rules of small business tax (KIVA) are easier to understand, it has become easy […]

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HUNGARY | Requirements concerning billing and billing software in 2017

From next year on it is only possible (recommended) to use billing software that complies with the new requirements and forwards the details of the issued invoices real-time to the tax authority. From January 2017 developers of billing software are required to incorporate this new function in their applications, and from the second half of […]

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EP passes resolution on aggressive corporate tax planning

www.itpa.org 16 December 2015, the European Parliament approved a resolution setting out the legal steps needed to improve corporate tax transparency, coordination and EU-wide policy convergence. The move to counter aggressive corporate tax planning and evasion by multinationals in Europe was triggered by the November 2014 “Luxleaks” revelations. The EU Commission will have to respond […]

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Environmental Product Tax obligation for webshops

According to the bill recently submitted to the Parliament about the proposed changes of the tax rules of Hungary from 2016, the non-resident online stores has to pay Environmental Product Tax in Hungary if the company has VAT registration in Hungary. The online stores and any distance selling companies have to be registered in the […]

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Increased minimum capital for KFTs from 2016

In accordance with the new Civil Code 2013 of Hungary the mandatory minimum initial capital requirement was lifted for the KFTs (limited liability company) to 3 million HUF. The new Civil Code 2013 is effective from 15 March 2014, the fromerly registered KFTs have to satisfy the new capital requirement until 15th of March 2016. The provision in […]

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