Summary 203 posts
As in previous years, several legislative amendments affecting taxation were introduced, some of which were enacted by Governmental Decree. The most significant tax changes were included in Act LV of 2024, titled \"On the Amendment of Certain Tax Laws,\" which was adopted on November 29, 2024.* In our blog we summarize the changes that companies need to look out for in their 2025 operations.
Read moreSignificant changes will take effect in Hungary\'s electronic administration system starting 16 January 2025: the current form of the Client Gate (Ügyfélkapu) will be discontinued. In the future, users will have two alternative solutions to choose from: the Client Gate+ (Ügyfélkapu+) and the DÁP (Digital Citizenship Program) mobile application, offering new options for online administration. Both individuals and businesses must consider in advance how they will authenticate themselves when accessing state-provided electronic services in the future — whether through the Client Gate+ or the DÁP.
Read moreNon-EU companies without a branch in the European Union are required to appoint a fiscal representative to fulfil their Hungarian tax obligations and notify the tax authority of such appointment. EU-based companies may also go for this option, but it is not mandatory for them. In certain cases, the fiscal representative is financially responsible for the company\'s tax obligations: their role serves as a guarantee for the state and the tax authority in ensuring the fulfilment of the tax liabilities.
Read moreNext year, the SZÉP card will become even more attractive: The maximum benefit limit will be increased by HUF 120,000; a new sub-account (‘pocket’) will be added to support sports and an active lifestyle; and the card will also be digitised. In addition, 50% of the budget can be used for house renovation purposes. In our RSM blog, we have summarized the expected changes to the SZÉP card starting in 2025.
Read moreThe Hungarian tax authority is constantly improving its control methods to ensure transparency and compliance of economic operators, and the data reconciliation procedure is a new step in this direction. The main purpose of the data reconciliation procedure is that the HUTA regularly compares the data from the real-time invoice reporting system with the information on the VAT returns submitted by companies.
Read moreAs part of the transfer pricing related tasks, the obligation to file a country-by-country report (CbCR) and notification to the tax authority must be fulfilled by 31 December 2024 for fiscal years corresponding to the calendar year.
Read moreBill no. T/9724 on amendments to certain tax laws, which also contains a number of significant changes affecting companies, was brought before the Hungarian Parliament on 29 October. One of the main goals of the proposal is to simplify the tax system and whiten the economy, particularly in the areas of corporate income tax, VAT and retail tax. The draft legislation would transpose many government decrees adopted during the state of emergency into law. Our blog below contains the most important changes in detail so that your company will be prepared for the new rules coming into force in 2025.
Read moreWhen a foreign company carries out transactions in Hungary for which the place of supply is in Hungary and are not subject to international reverse charge, that company must apply for a Hungarian tax number. In such cases, the foreign company may possess tax numbers in multiple countries, similarly to dual or multiple citizenship for individuals.
Read moreTax authority inspection, tax audit, compliance audit/minutes – these are the terms that every taxpayer should understand. What is more, you should know the detailed rules of the tax audit and the compliance investigation, as it is important what kind of protocol the tax authority review is based on.
Read moreThe precise and efficient completion of the M-sheets (domestic recapitulative statement) is vital to avoid the attention of the tax authority. The correct handling of M-forms is of utmost importance, as the tax authority\'s new risk analysis methods are focused on the accuracy of the reported data.
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