Taxes - Hungary
The rights and duties of taxpayers and tax authorities as well as related procedures are contained in the Taxation Rules Act.
Assessing and levying taxes
Taxes can be assessed, levied and paid in various ways:
- Taxpayer: Businesses and other organisations ascertain their tax and budgetary supports by self-assessment ; in other words they ascertain, declare and pay their tax themselves, or claim budgetary supports. A private individual may only use this method if he is an entrepreneur or pays value-added tax, and if his personal income tax has not been ascertained by his employer or by the tax authority.
- Agents or employers: Assess taxes and pre-payments of tax for individuals by means of deductions if required to do so by law.
- Person with an obligation to collect taxes: In the cases defined in law, a person with an obligation to collect taxes communicates the amount of local tax to a private individual and receives the tax (tourist tax).
- Tax authority: determines taxes by levying or imposing taxes, assessing tax as the tax authority on the basis of a simplified tax return, or by conducting ex post tax assessments.
Information concerning direct taxes may be found on the following websites:
In general, all taxpayers must first register, whereupon the tax authority registers the taxpayer and issues a tax identification number.
Tax obligations include:
- Reporting, and making declarations;
- Opening a turnover account;
- Tax returns;
- Issuing and storing evidence (e.g. invoices and other accounting evidence);
- Tax assessment;
- Deduction and collection of tax;
- The possible payment of tax advances and supply of data;
- Actual payment of tax.
Assessed taxes are declared using the appropriate forms.
Electronic tax returns
Businesses must file tax and national insurance returns and provide tax-related data electronically.
In addition to this, every taxpayer has the opportunity to handle tax affairs electronically. Taxpayers may therefore fulfil their reporting obligations and record any changes electronically, as well as their filing and data provision obligations. In addition to this, every taxpayer has the opportunity to view his own tax account, and to download the recorded data.
All this is done via the Client Gateway on the Government Portal.
Electronic customs declaration
The Electronic Customs Portal (eVP) provides an opportunity for documents submitted to the Hungarian Customs and Finance Guard via the Client Gateway in connection with tax returns, rebates and other provision of information to be viewed or approved, if this is necessary owing to joint representation of the taxpayer (company), and for the administration of joint approval rights and access to other services.
Client Gateway registration
The Client Gateway is an access point through which taxpayers can safely connect to public administration bodies and public institutions using personal identification. It is necessary to register in order to create a personal client gateway.
Registration may be done by the taxpayer himself, that is to say a legal person, or, in the case of a company without legal personality, by its representative.
Registration may also be done at any notary's office in the country, or at the Customer Service Centre (Andrássy út 55, District VI, Budapest). If the taxpayer has an appropriate electronic signature, he may also register online and need not go to a notary's office.
1% of personal income tax
Since the 1996 tax year, the 1% law (Act CXXVI of 1996) has let private individuals offer 1% of their personal income tax to a civil organisation, and another 1% to a church or highlighted state appropriation.
A "Tax Residence Certificate" may be obtained from Customer Services at the Tax and Financial Control Administration:
Some useful information in English about the Hungarian tax system can be found on the following websites:
Check also the legislation on this topic in: