Taxes in Hungary

Hungary tax rates in 2026: at a glance

Hungary charges a flat 15% income tax and 9% corporate tax - one of the lowest rates in the European Union. But 18.5% contributions are deducted from salary on top, and the employer adds 13%. Here are the main taxes in one table.

Compare taxes in 146 countries: relocation taxes 2026

Personal income tax

There is a single personal income tax rate of 15%. Residents pay it on their worldwide income, non-residents - only on income earned in Hungary.

Hungary tax residency rules: who becomes resident

The 183-day rule in Hungary applies only to European Union citizens. For citizens of countries outside the European Union the income tax law uses other grounds: permanent residence, a permanent home only in Hungary, a centre of vital interests or a habitual abode.

Hungarian citizens are always resident, except dual citizens without an address in the country. A resident pays a flat 15% on worldwide income, a non-resident only on Hungarian income. A flat rate is the rare case where European tax maths fits on a napkin.

Mistakes cost more: a residence permit, a rented flat and family nearby add up to a centre of vital interests, and Hungary and your former country tax the same income. Murblz support removes these risks: we review your ties with Hungary, model the result for both countries, obtain the residence certificate and apply the double tax treaty. We guarantee professional work and a transparent process, and in most cases a result on the first filing.

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Corporate income tax

Resident companies pay corporate income tax on their worldwide income at a rate of 9% - one of the lowest in the European Union. Non-resident companies pay tax only on income earned in Hungary.

VAT

The standard VAT rate in Hungary is 27%. Reduced rates of 18% and 5% apply to certain categories of goods and services.

Social contributions and property tax

Employees pay social contributions at a rate of 18.5%: pension contribution - 10%, health insurance - 7%, labor market contribution - 1.5%.

Building tax is set by the municipality: per square metre or up to 3.6% of adjusted market value, and many do not levy it on homes.

What is left of a salary

Dollars at the European Central Bank rate of 6 October 2026, about 324 forints per dollar, rounded up. The minimum wage in 2026 is 322,800 forints a month, about $1,000.

Taxes on investments

The 13% social contribution on dividends and interest applies only until total annual income exceeds 24 minimum wages: in 2026 that is 7,747,200 forints, about $24,000. Above it only 15% remains.

Crypto: 15% with no contributions

Since 2022 crypto income in Hungary has been taxed separately from other income: 15% income tax on the annual gain and no 13% social contribution tax, which applies to dividends and interest. The tax is calculated on the year's result: gains from all sales are reduced by losses of the same year, and losses from the two previous years can also be offset.

Exchanging one crypto for another is not taxed. Tax arises when coins are sold for money or used to pay for goods and services. The income is shown in the annual return, and the tax is paid by 20 May of the following year.

Murblz specialists combine trades from all exchanges into one calculation and present it in the return so that the tax authority accepts the losses for offset.

Tax benefits for families

The benefits cover income tax; everyone pays the 18.5% contributions. Foreigners living and working in Hungary use them on the same terms.

Taxes for entrepreneurs

With dividends: of 100 in company profit, about 65-77 reaches the owner before local business tax after 9% and dividend taxes, depending on whether the 13% cap is reached.

Buying property, inheritance and gifts

Non-residents and double tax treaties

Hungary does not withhold tax on dividends, interest and royalties that a Hungarian company pays to a foreign company. So profit from Hungary can be paid out to a holding company abroad with no withholding tax.

A foreign individual receives dividends and interest with 15% withheld, but a double tax treaty usually reduces the rate. Hungary has about 80 such treaties. To apply the reduced rate, the recipient gives the payer a tax residence certificate from their country in advance. Without it the full 15% is withheld, and the difference is refunded only on application to the Hungarian tax authority.

Murblz specialists check which treaty works for your structure, obtain residence certificates and prepare refund applications.

Return and deadlines

• a foreigner gets a tax number from the tax office, usually along with address registration;
• the tax office prepares a draft return for the previous year, which you check and complete by 20 May;
• if the draft is not corrected, it is deemed filed;
• entrepreneurs pay quarterly advances;
• a tax residence certificate is issued online on request.

What changed in 2026

Common mistakes

• not checking the tax office's draft return, which omits foreign income;
• forgetting the 13% on dividends and interest until the annual cap is reached;
• selling a flat within 5 years of ownership and paying 15% of the gain;
• setting up a Hungarian company but managing it from another country, whose tax office then treats it as its own;
• not exiting the previous country's tax residence and paying tax twice.

Comparison with neighbours

Hungary wins on corporate tax and family benefits but loses to Bulgaria and Romania on salary burden because of the 18.5% contributions.

What we do

We calculate taxes before the move, choose a residence permit or remote work visa, obtain a tax number, choose a business regime and, if needed, register a company, check the draft return and get a residence certificate. We fix our fee in writing after a free consultation.

What is important to know about taxes in Hungary

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