The number of new businesses is low in Hungary but growing rapidly in emerging countries

Despite the global crisis, the number of businesses grew spectacularly in recent years in large emerging economies. While from 2007 to 2011 the number of active businesses increased by only slightly more than 3 percent in the most developed countries of the world, there was a 25 percent growth in this regard within the BRICS group of the largest emerging countries – the survey “Business Births and Deaths” of the international financial and tax consulting network RSM International reveals. News is even worse from a Hungarian perspective as we have the worst result even within the European league: in 2011, the number of active businesses exceeded that of 2007 by only 0.3 percent.

Impact of ‘new UK GAAP’ on corporation tax charges

It will apply to accounting periods beginning on or after 1 January 2015 and will apply to all UK companies who do not report under IFRS, FRS 101 or who do not qualify as a small entity. In some areas the new standard represents a significant change from existing GAAP. It is expected that the changes will impact both the current and deferred tax calculations with larger entities expected to be most affected.

Work Schedule around the Public Holidays of 2014

The Decree of the Ministry for National Economy on the work schedule around the public holidays of 2014 was published on 30 August.

Changes regarding income certificate and social insurance booklet in Hungary

Before changes employer had to issue income certificate in the case of employment termination.

The most important question: What’s the best for the market?

Yet, I still believe the most important question is what is best for the audit market and audit quality.

Tax-exempt product imports without tax collateral and even without a tax number!

Being a VAT expert, tax-exempt product imports are close to my heart. I recently attended a conference where most of the guests were managers of companies importing products in Hungary and then selling and transporting them after customs clearance to companies in other member states.

Non-taxable persons allowed in a VAT group – several decisions rendered by the CJEU

On 9 April 2013, the CJEU decided in the Commission vs. Ireland (C-85/11) case that non-taxable persons can be part of a VAT group on the basis that the VAT Directive determines that a fiscal unity can be formed by ‘persons’ and does not prescribe that each member of the fiscal unity must be an entrepreneur or taxable person for VAT purposes.

Stricter wealth accumulation audits underway

The banking data of individuals, for instance, will be as easily and quickly accessible for the tax authority as the data of property or vehicle registers.

Technology, productivity and economic growth; where does the west go from here?

Environmental product charge: approaching deadline!

In 2012, HUF 57 billion, slightly less than the targeted HUF 60 billion, was collected from product charge. The revenue target was not reduced for 2013 either, we can therefore assume that the tax authority will use every effort to meet the target.