Hungary corporate taxes
Hungary (EU, but outside the euro — thresholds are in forint) has the EU’s lowest corporate income tax at 9%, plus a local business tax of up to 2%. VAT is the EU’s highest at 27%, personal income tax is a flat 15%, and real-time invoice reporting (Online Számla) is mandatory. Filing runs through the tax authority NAV.
Company forms & registration
A company is registered by the company court through a lawyer or notary and entered in the company register; beneficial owners are held in a central register run by NAV.
| Main legal forms | Kft. (private limited), Zrt. (private company by shares), Nyrt. (public)[3][8]The Kft. is the default choice for most businesses. |
|---|---|
| Minimum share capital | Kft.: HUF 3m; Zrt.: HUF 5m; Nyrt.: HUF 20m[3][8] |
| Registers a new employer meets | Company court (incorporation) → NAV (tax, VAT, payroll, UBO)[8][5] |
Other statutory requirements
Obligations beyond filing a tax return that every operating company must satisfy.
| Real-time invoice reporting (Online Számla) | Invoice data reported to NAV immediately[6]Mandatory for all invoices issued by VAT-registered taxpayers, with no value threshold, in XML format. |
|---|---|
| Beneficial owners | A person controlling more than 25%, held in the NAV register[8] |
| Annual report filing (e-beszámoló) | By 31 May[4] |
| Document retention | 8 years[4] |
Corporate income tax (társasági adó)
| Rate | 9%[1][5]A flat rate, the lowest headline corporate tax in the EU. A minimum tax base of 2% of revenue applies if the profit is lower. |
|---|---|
| Local business tax (HIPA) | Up to 2% of net revenue[5]Set by each municipality on an adjusted net-sales base. Medium and large firms also pay a 0.3% innovation contribution. |
| Small business tax (KIVA) | 10% alternative[5]An optional 10% tax replacing corporate tax and the 13% social contribution, for firms under HUF 6bn revenue. |
| Return & advances | Return by 31 May; quarterly advances[5]Advances are monthly only if the prior-year liability exceeds HUF 20m. |
Withholding taxes & dividends
| Payments to companies | 0%[1]Hungary levies no withholding tax on dividends, interest or royalties paid to non-resident companies — a key holding-jurisdiction feature. |
|---|---|
| Dividends to resident individuals | 15% + 13% social[7]15% personal income tax plus a 13% social contribution, up to an annual cap (24 times the minimum wage). |
VAT (áfa)
| Standard rate | 27%[2][6]The highest standard VAT rate in the EU. |
|---|---|
| Reduced rates | 18% and 5%[2][6]18%: certain dairy and bakery products, some events. 5%: new housing, medicines, books, district heating, some foods. 0% for exports and intra-EU supplies. |
| Exemption threshold | HUF 20,000,000 (2026)[6]Raised from HUF 18m; rises further to HUF 22m in 2027. |
| VAT return | Monthly, quarterly or annual by the 20th[6]Frequency assigned by NAV; invoice data is reported in real time. |
Payroll: income tax & contributions
Income tax is a flat 15%; the employer adds a 13% social contribution and the employee pays an 18.5% social security contribution.
| Income tax (SZJA) | 15% flat[7] |
|---|---|
| Social contribution tax (employer) | 13% of gross[7] |
| Social security (employee) | 18.5% of gross[7]Pension 10% + health 7% + labour market 1.5%. |
| Minimum wage | HUF 322,800; guaranteed HUF 373,200 (2026)[7]The guaranteed minimum applies to jobs requiring a qualification. |
| Reporting | Monthly ’08 return by the 12th[7] |
Other taxes companies meet
Accounting & financial statements
Forms & filings
Every recurring return and report a typical company deals with, what triggers it, and where it goes. Registration-time and one-off filings are marked “per event”.
| Form | What it is | Who files | Frequency | Deadline | Filed with |
|---|---|---|---|---|---|
TAO | Corporate income tax return[5] | Companies | annual | 31 May | NAVNAV |
HIPA | Local business tax return[5] | Businesses | annual | 31 May; advances 15 Mar & 15 Sep | Municipality (via NAV)NAV |
ÁFA | VAT return + Online Számla[6] | VAT-registered persons | monthly | 20th of the period; invoice data real time | NAVNAV |
08 | Payroll return[7] | All employers | monthly | 12th of the following month | NAVNAV |
e-beszámoló | Annual report[4] | Companies | annual | 31 May | Company Information ServiceOBR |
Compliance calendar
The same filings grouped by rhythm — what recurs when.
ÁFA20th of the period; invoice data real time0812th of the following month
TAO31 MayHIPA31 May; advances 15 Mar & 15 Sepe-beszámoló31 May
Sources
Numbered references cited throughout this profile. Laws link to consolidated texts in the official register.