Personal income tax amendments as of 2016

The amendments to personal income taxation offer better conditions for 2016, decreasing tax burden and simpler tax administration for private individuals, support for taxpayers who newly return to the social security pension scheme, enticing taxpayers to bring back to the country untaxed income accumulated abroad.

Changes in the Accounting Act, 2016

Our current post provides you with information about the major changes in the Hungarian accounting legislation effective as of 2016. The amendments mainly aim to comply with EU directives unification. In addition, the modifications also aimed to converge the Hungarian thresholds with the EU levels, and also to harmonize the accounting legislation with tax and civil law regulations.

Growth tax credit for corporate income tax in Hungary

The most important amendment to the corporate income tax rules in Hungary for 2016 was the introduction of the so-called growth tax credit. This is a form of tax deferral which is available to limited number of taxpayers who meet the strict conditions. Please find below a summary of the respective rules.

2016 amendments to the VAT and invoicing legislation in Hungary

The new year brought several changes connected to VAT too.

Taxpayer’s qualification: the reliable and the risky ones

One of the major novelties of the Hungarian tax procedural rules as of 2016 is the introduction of the taxpayer’s qualification. During the qualification process, the Hungarian Tax Authority (HTA) distinguishes reliable and risky taxpayers. A taxpayer is qualified as reliable upon simultaneously meeting ten different conditions listed beneath. To be characterized as a risky taxpayer; however, it is enough to meet one of the given four conditions.

CROSS-BORDER EMPLOYMENT IN HUNGARY

In the following chapter we will provide useful information on the taxation of expatriates in Hungary including personal income taxation and social security law. LeitnerLeitner Hungary offers its professional assistance for cross-border employment and expatriate taxation both for foreigners arriving to Hungary or to Hungarians leaving the country for a foreign carrier.