Hungary Non-Resident Withholding Tax Calculator
Determine statutory withholding taxes on cross-border corporate profit distributions, interest, royalties, and DTT treaties.
Direct Statutory Calculation Result
Calculation Parameters (Act I of 2012, NAV & Hungarian Tax Codes)
Statutory Itemized Breakdown
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Frequently Asked Statutory Questions
What is the statutory withholding tax rate on dividends paid to foreign corporations in Hungary?
Hungary levies a 0% statutory withholding tax on dividends, interest, and royalties paid to foreign corporate entities under Act LXXXI of 1996 on Corporate Tax, regardless of whether a bilateral tax treaty exists.
Does Hungary levy withholding tax on payments to foreign individuals?
Yes. Payments of dividends, interest, and royalties to foreign natural persons are subject to a statutory 15% Personal Income Tax (SZJA), unless a bilateral Double Taxation Avoidance Agreement (DTA) specifies a lower treaty rate.
What happened to the US-Hungary Double Taxation Treaty in 2024?
The bilateral Double Taxation Treaty between the United States and Hungary was terminated effective January 1, 2024. Consequently, US residents receiving income from Hungary are subject to standard Hungarian domestic withholding rates (15% SZJA) and potential 13% SZOCHO on certain non-wage income.
What documentation is required to apply reduced treaty rates?
The non-resident recipient must provide a valid Certificate of Tax Residence (illetősegigazolas) issued by their foreign tax authority and a declaration of beneficial ownership before the payment is executed.
Is SZOCHO applicable on dividend distributions to non-residents?
Non-resident individuals covered by the social security legislation of another EU/EEA member state or third country with a social security treaty are exempt from the 13% Social Contribution Tax (SZOCHO) upon providing an A1 or bilateral coverage certificate.
Engr. Muhammad Shahzad
Verified Fiscal & Statutory AlgorithmistLead software architect and statutory modeling specialist with over a decade of experience designing enterprise-grade algorithmic frameworks, double-entry financial models, and statutory compliance engines across European and global regulatory jurisdictions.
Engr. Muhammad Shahzad
Principal Financial Systems Architect & Central European & Hungarian NAV Fiscal Compliance Lead
Lead software and systems architect specializing in high-performance browser computing, algorithmic validation, financial models, and zero-telemetry client-side privacy architecture.