LeitnerLeitner primarily focuses on national and international tax advisory, accounting and payroll, statutory and merger audit, and financial advisory services such as M&A and DD assistance to Hungarian subsidiaries and branches of international companies. Thus we are the first to meet the intension of a business foundation or the launch of foreign companies in Hungary. Our recent experiences truly reflect a notable growth in starting or expanding business in the country. Many contact us with an interest in new investments, mergers and acquisitions; they ask us to support them in the due diligence of their targets, their accounting and tax integration and also to help maximize the tax incentives available for their business.
We expect growing interest regarding the introduction of corporate group taxation in Hungary, as the potential offset of losses and profits, the share of tax allowance advantages together with simplification of transfer pricing documentation amongst the domestic members of a corporate group provides additional value and competitiveness for the group. However, the decision about entering into a corporate tax group requires careful planning and preparation, which is worth starting immediately after the adoption of the new law. According to the plans, the adoption of group taxation for 2019 should be announced by January 15, 2019.
Another noticeable investment tendency among companies already operating in Hungary is the increasing number of firms that plan for the long-term and intend to create the safe and proper conditions for stable operations here. They pay more attention to transfer pricing, for example, requiring the revision, actualization, and renewal of their transfer pricing documentations – which is also in line with the increasing new requirements on this field. They are also interested in a health check of their general taxation practice or of a specific tax type, that provides perfect safety and preparation for extending digital and immediate tax audits.
LeitnerLeitner has formerly concentrated on these fields as a specialist; however, the actual advanced level of digitalization brings into life new market requests and client needs.
To look into another area: today it is surely not enough to simply record the accounting bills and invoices only; this should be combined with additional support services providing an advanced solution to the everyday problems of clients. Automatic data transfers and processing make it possible to complete the core accounting tasks quicker and to use the remaining time to analyze data and help decision making by the client. We could also mention IFSR-based bookkeeping, and accounting in EUR or USD as general expectations from a modern and professional accounting company such as LeitnerLeitner.
Beyond the statutory audit defined by law, the need is increasing for special financial advisory services too, such as the audit of corporate transformations (mergers, de-mergers) and consolidations. We also regularly step in as coordinating body for complex M&A transactions.
In order to meet the expectations of our clients, LeitnerLeitner continuously invests in new solutions and in the knowledge development of our colleagues; we participate in many seminars and training events, either as participants or lecturers, domestic and abroad.
We also look at our regularly updated blogs in three different languages, English, Hungarian and German, as an investment that reflects our dedication to raising the business and taxation cultures. As is suggested by the title of our blog – ”Surprisingly Simple About Taxation” – we take on the role of an interpreter between entrepreneurs and the extensive tax legislation.
Finally, I would like to mention our latest investment: the opening of our new office in Kecskemét. By this step, we can bring the already accustomed high quality professional services and proactivity closer to our clients in the south and southeast of Hungary. Even though, nowadays one could solve deals without personal connections, we believe that really strong trust can only be based on personal connections. And this is one of our investments too.