Hungary government proposes wealth tax on ultra-rich
The plan would tax wealth above HUF 1 billion at 1% and above HUF 100 billion at 1.5%, with loans and some taxes deductible.
- On Tuesday, Prime Minister Péter Magyar announced Hungary will implement a new wealth tax starting January 1, 2027, applying 1% annually on assets exceeding 1 billion HUF and 1.5% on wealth above 100 billion HUF.
- The centre-right Tisza party, which defeated Viktor Orban's Fidesz party in April, introduced the tax as a campaign promise to address a budget deficit projected at 7.5% of national output.
- Alongside the wealth tax, the government detailed a major KATA small-business tax overhaul, broadening access and increasing monthly rates to 100,000 HUF for full-time operators, while abolishing the 500 million HUF preferential EKHO limit for professional athletes.
- The first declaration based on 2026 year-end assets is due by August 31, 2027, with parliamentary approval expected given Tisza's large majority in the legislature.
- Upcoming 2027 budget announcements will outline a fiscal roadmap towards adopting the euro, while the wealth tax targets comprehensive value from high-net-worth individuals including real estate and foreign assets with loans deductible from the taxable base.
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73 Articles
Kata-logue of complaints: chamber backs reform but wants more
The Hungarian Chamber of Commerce and Industry (MKIK) has described the draft reform of the flat-rate tax (kata) for small taxpayer sole traders as a compromise solution, saying it makes simple taxation available to a wider group and ties a higher tax burden to higher income, the MKIK announced in a statement to MTI.
(Rome=Yonhap News) Correspondent Min Kyung-rak = The new Hungarian government that took power this year has officially announced plans to introduce a wealth tax.
The Tisza government presented a detailed draft of the wealth tax on Tuesday, which was submitted for public consultation. The richest would pay even more than previously discussed, it would be difficult to take wealth abroad and hide it, but the new tax could be painful for many medium-sized companies.
Dnevni list Danas
The Hungarian government has proposed the introduction of a wealth tax aimed at individuals whose assets exceed one billion forints ($3.08 million), Prime Minister Peter Magyar said today, fulfilling a pre-election promise of his ruling Tisa party, the British agency Reuters reported.
The Hungarian government will introduce, from 1 January 2027, an individual property tax that exceeds 1 billion forints, announced on Tuesday Prime Minister Peter Magyar. The tax package also includes extending the access of small entrepreneurs to the simplified KATA tax system, but also increasing the monthly tax paid by them.
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