Corporate Tax In Hungary (Part 1): Basic Framework

Determining taxable corporate income and subsequent taxation is a fundamental aspect of any business's financial planning. This article is the first in a seven-part series of articles covering the important rules of corporate taxation in Hungary. The series will cover issues such as the basic and special rules of corporate tax, extra profit tax, cross-border treatment, anti-avoidance, investment in corporate assets, and penalties for non-compliance.

In Hungary is a unilateral state, having no federal level. Corporate profits are generally taxed at state level, being subject to Corporate tax (Társasági adó) and to Municipality tax at regional level on business activities (Iparűzési adó).