Hungary to amend local and EU tax laws, achieve social and policy objectives
Hungary’s government concluded a public consultation on a draft bill proposing changes to various tax laws on 24 October 2024. The proposal seeks to amend tax laws in response to EU and Hungarian legislation changes, targeting global minimum tax,
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Hungary, Serbia sign amending protocol to tax treaty
Hungarian and Serbian have signed an amending protocol to their income and capital tax treaty on 8 October 2024 in Budapest, as reported in a release from the Serbian Ministry of Finance on the same day. The protocol was signed by Norbert Izer,
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European Commission ends infringement case against Germany, Hungary over DAC7 information exchange
The European Commission has announced the conclusion of the infringement procedure against Germany and Hungary for their failure to comply with the obligation to automatically exchange information as mandated by the Amending Directive to the 2011
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European Commission urges Hungary to scrap retail tax
The European Commission announced that it decided to initiate an infringement procedure against Hungary on 3 October 2024, urging the country to eliminate its retail tax regime which is deemed non-compliant with the freedom of establishment. The
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Ghana negotiates tax treaties with Hungary, Israel, UAE, Korea, Egypt
Ghana announced that it is negotiating to establish income tax treaties with Hungary, Israel, UAE, Korea, and Egypt. Daniel Nuer, Head of the Tax Policy Unit at Ghana's Ministry of Finance, revealed that the Ministry plans to implement
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European Commission ends probe into Hungary advertisement tax
The European Commission announced in a report on 26 July 2024 that it closed its in-depth investigation, which opened in March 2015, into the Hungarian advertisement tax. In November 2016, the Commission found that the Hungarian advertisement
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Hungary raises financial transaction tax
Hungary has raised the financial transaction tax (FTT) from 0.3% to 0.45% with the maximum tax per payment transaction increasing from HUF 10,000 to HUF 20,000. The FTT rate on cash withdrawals has increased from 0.6% to 0.9%. The new FTT at a
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Switzerland, Hungary sign protocol to update double taxation agreement
Switzerland and Hungary signed a protocol of amendment to the agreement for the avoidance of double taxation with respect to taxes on income and capital (DTA) on 12 July 2024 at Budapest. It implements the minimum standards for double taxation
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Hungary to end windfall taxes on telecom, pharma sectors
The Hungarian government has announced plans to eliminate windfall taxes on the telecommunications and pharmaceutical sectors by 2025, according to Economy Minister Marton Nagy. By phasing out these taxes on telecommunications and pharmaceutical
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Hungary reports on Belarus tax treaty suspension
The National Tax and Customs Administration of Hungary issued a release on 3 June, 2024, concerning the Republic of Belarus's decision to suspend certain provisions of the 2002 tax treaty between the two nations. The suspension went into effect
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Hungary: VAT refund claim requirement for information and documents violates EU law
The Court of Justice of the European Union (CJEU) ruled that the Hungarian regulation regarding VAT refund claims for taxable individuals not established in the EU member state of the refund is not according to EU law. The rule, which requires
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Hungary updates tax treaty with Switzerland
Hungarian Prime Minister Viktor Orbán approved the signing of a protocol to amend the 2013 income and capital tax treaty with Switzerland on 9 May, 2024. This marks the first modification to the agreement and will require formal signing and
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Hungary releases 2024 audit plan with targets transfer pricing
Hungary's National Tax and Customs Administration (NAV) has released its audit strategy for the 2024 calendar year, highlighting transfer pricing as its key area of focus among other sectors. The new transfer pricing reporting obligation introduced
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Hungary: Central bank lowers base interest rate
On 26 March 2024, Hungary’s National Tax and Customs Administration disclosed that the Hungarian National Bank has reduced the central bank base rate by 75 basis points from 9.00% and set it at 8.25%. The revised base interest rate went into
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US announces termination date of tax treaty with Hungary
On 29 December 2023, the U.S. IRS declared in the ‘Announcement 2024-05’ the effective date of the termination of the 1979 tax treaty with Hungary. The Government of the United States provided a diplomatic notification, dated 8 July 2022, to
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Hungary offers tax amnesty for previously ineligible shares
Recently, Hungary implemented a tax legislation that grants one-time amnesty for any capital gains on the disposal of shares in subsidiaries that had not previously chosen to participate in Hungary's capital gains exemption regime. Hungary’s
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Hungary publishes GloBE laws in the official gazette
On 30 November 2023, Hungary published Law LXXXIII of 2023 on the amendment of individual tax laws and Law LXXXIV of 2023 on additional taxes in Gazette No. 171 of 30 November 2023. The recently enacted laws ensure a global minimum tax level and
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Hungary: Parliament passes pillar two global minimum tax law
On 21 November 2023, the Hungarian Parliament passed legislation to implement the Pillar 2 global minimum tax (GloBE) rules as per the Council Directive (EU) 2022/2523 of 14 December 2022. On 17 October 2023, Hungary’s Ministry of Finance
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