Tax Newsletters 2020
You can read the Mazars Hungary’s tax newsletters. We would like to inform our clients and partners about actual tax news.
NAV to audit the use of CIT credit for energy efficiency increasing investments
A tax credit has been available from the corporate income tax (CIT) after investments serving the purpose of increasing energy efficiency. Therefore, it is worth examining in case of a planned investment if energy efficiency improvement is achieved, since in such a case the business may reduce the amount of the income tax due by up to 70%.
Deadline for reports on cross-border tax structures have been extended
In July 2019, Hungary adopted the provisions of EU Council Directive 2018/822 (hereinafter: DAC6 Directive) on the data reporting obligation for cross-border transactions. In addition to imposing several burdensome liabilities on consulting firms, it is important that taxpayers themselves may be required to provide information in certain cases.
Changes in the system of KATA from 2021
At the end of June, the Government proposed some amendments to the legislation on the itemised tax of small businesses (“KATA”). One of the main aims of the changes is to prevent and eliminate unlawful tax avoidance practices. Many companies use the KATA system as an alternative to employment, which reduces the tax revenues of the state.
Changes in social security laws – things you should pay attention to in the summer of 2020
Over the course of the past few months, the COVID-19 pandemic has significantly changed the macroeconomic situation, and countries all around the world typically tried to use similar tools, mainly in the framework of accelerated legislative procedures, and involving the creation of targeted rules for the protection of the economy, to keep these changes under control. In Hungary, many of the Government decrees passed in recent types were also aimed at smoothing the waves of these effects.
Coronavirus - Taxation treatment of donations
The Government has submitted the bill on ending the state of alarm, the debate of which in Parliament has already started. This means that the state of alarm due to COVID-19 will soon come to an end; however, the taxation consequences must still be reckoned with in many cases.
How to ensure the transition from 2019 to 2020 in terms of transfer pricing?
In the framework of the Economy Protection Action Plan, Government Decree 140/2020 (IV. 21) on Tax Facilities Necessary to Mitigate the Economic Impact of the Coronavirus (hereinafter: the “Decree”) grants a postponement for satisfying tax obligations due between April 22 and September 30 (corporate income tax, innovation contribution, energy suppliers’ income tax, small business tax and local business tax).
The most recent changes in tax laws
As the state of alarm is drawing to an end, there is a decreasing tendency in the number of new provisions of law introduced to ease the situation of taxpayers. However, it is definitely worth mentioning three, recently published provisions that may provide additional benefits for businesses.
Corporate income tax return 2019 - What you should pay attention to?
Under one of the recently introduced tax relief measures, which is favourable not only from an administrative, but also from a cash-flow point of view, instead of the normal deadline at the end of May, it is enough to submit the financial report and the related annual returns – including the corporate income tax return – by 30 September 2020, and to pay the tax also on the same date.
Társasági adó 2019 - Mire érdemes figyelni?
Az adózási könnyítések között kiemelt szerepet kapott az a nemcsak adminisztratív, de cash-flow szempontból is kedvező lehetőség, hogy a számviteli beszámolót és az ahhoz kapcsolódó éves bevallásokat, köztük a társasági adót is idén a szokásos május végi határidő helyett elegendő 2020. szeptember 30-ig benyújtani, valamint az adókötelezettséget is csak addig kell megfizetni.
Kurzarbeit details
The amended rules of the wage subsidy related to employment in reduced working time (“Kurzarbeit”) entered into force on 29 April 2020, and it was also on this day only that the National Employment Service finally published the necessary forms on its website.