The Hungarian legislation introduced the asset management foundation as a new type of asset management in March 2019, which is very similar to the well-known trust. According to the bill on amending certain tax laws submitted by the Hungarian Government in June 2019, the foundation performing asset management will be considered as a taxable person for corporate income tax purposes.
New EU rules enter into force on 1 July 2019 to ensure quicker and more effective resolution of tax disputes between Member States, making life easier and offering much more tax certainty for businesses and individuals experiencing double taxation issues.
The personal income tax exemption for mothers with four or more children will come into effect as of January 2020.
In the field of the double taxation there are several international conventions regulating dispute settlement, such as the rules for the Mutual Agreement Procedure (MAP), however, there are often debates among the EU Member States.
More than a thousand companies have decided to perform the corporate income tax as a member of a so-called corporate taxpayer group, which may result in a total savings of HUF 15 billion for the companies. One of the greatest advantages of the corporate taxpayer groups is the offsetting of positive and negative tax bases, better use of tax incentives, and the non-applicability of transfer pricing rules.
„Hungary opposes the introduction of the common corporate income tax base, or a new type of VAT in the European Union, and insists on keeping its competitive tax system” said Hungarian Minister of Finance Mihály Varga in Bucharest at an informal meeting of the European Union’s Financial Ministers on 5 April 2019.