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Hungary Summary Guide

Hungary Residence

EU/EEA Residents. As Hungary is a member of the European Union, residents of the EU/EEA may enter the country freely to work and live; a passport or other valid ID card is required to enter the country, however.

If an individual wishes to stay in Hungary for a period in excess of 90 days, they must obtain a Registration Card. EU/EEA citizens may apply for the Registration Card (this is issued instead of the Residence Permit which is granted to non-EU/EEA citizens). Proof of work or self-employment and legal residence must be submitted when applying. Members of an EU/EEA citizen’s family will probably have to apply for a Residence Permit.

Upon issue of a Registration Card, it is then possible to register for tax and social security. Family members of an individual must also be registered for residence.

Non-EU/EEA Residents. A visa is usually required to enter Hungary (unless a treaty has been agreed by Hungary with the country of origin) and can cover stays of up to 90 days – there are a number of different visa types.

As Hungary is part of the Schengen Area, the regulations governing the issue of visas and entry to other members of the Schengen Area apply.

For a period exceeding 90 days, a Residence Permit is required- such permits are usually only valid for one year. Where a visa and a Residence Permit are required, an application must be made at the Hungarian Embassy in the country of origin before departure.

A Work Permit is usually required for non-EU/EEA nationals wanting to work in Hungary, and application should be made via the Labour Authority of the region of Hungary where a person is to live and work, or through the office in Budapest.

 
 

Hungary Summary Guide Contents

 Hungary Summary

 Hungary Summary Chart

 Hungary Residence

 Taxation of Business People in Hungary

 Living and Doing Business in Hungary

 Business Forms in Hungary

Latest Comments

Expat Brit

Hi,

I am facing a dilemma and would like to invite any reader to advise me.

I am a Brit who has lived outside UK since 1993- initially in Belgium (5 years) & subsequently in 4 African countries. After a year outside UK, the UK Inland Revenue confirmed my status as ‘non-resident’ for tax purposes and as I have had no income in UK, I have not completed a UK tax return for many years. I visit UK very rarely, normally for one or two weeks per year.

In May 2011, I was made redundent by my employers, who were downsizing. This coincided with a move to retire in the Netherlands, where I now have official residency (my wife is Dutch). I thought that, at 63 years of age, I would be unlikely to find suitable employment; in fact, I have not tried hard and had resigned myself to permanent (but slightly premature) retirement.

However, to my surprise, I have recently been approached (through a mutual acquaintance) by a company that wishes to use my skills on a project in the Isle of Man. The role, if & when confirmed, would see me working for about 10 days a month in Isle of Man, with about 5-7 additional days per month, working from home. Contract will be for about two years. The firm has asked me to confirm if I would prefer to be paid (and therefore be taxed) in Netherlands or Isle of Man, the idea being that I create a self-employment entity for this employment. I have no data on which to base a response. Given Isle of Man's traditional ‘low tax ‘environment, are there any benefits to declaring an income in IOM? Are there any Isle of Man residency implications? Netherlands takes a tax cut on total world wide income, and, as I have never had any contact with the Dutch authorities, I am reluctant to start such a relationship now. Do I have to declare income in both countries, with a breakdown prorata to the time spent in each jurisdiction? Should I declare income to UK Inland revenue?

If anyone has pertinent advice on these points, I’d be grateful to hear them.

TJM @ Eindhoven, NL

T. Dog

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Purchasing investment-link insurance for my staff

Would that count as income tax to my staff? And would that count as expense to my company?Michael

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Irish crisis - effects on small business?

Hi all,

Just wondering if anyone 'on the ground', as it were, might be reading and able to help me...I was considering relocating my hairdressing business from the UK to Ireland before the economy started to go properly belly-up...now, not so much.

Are things as bad as they seem over there, or is it being over-hyped by the media? And is the government still keen to support small business people? Cos if not, I'll look elsewhere...

Thanks,Kate

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Jersey vs. Malta??

Hi, I live in South Africa, and along with 2 business partners (one in South Africa and one in Ireland - all South African citizens though) are setting up a company that designs Smart phone applications. As they will be sold on the various platforms (none of which operate out of South Africa)we have to list our company as operating out of Ireland anyway. As such, we have decided to set up our company in the best tax country and are wanting info on whether Jersey or Malta is best? If anyone has some inside info we would really appreciate it!! Thanks!Mary

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Living in France contracting to Australian company

I am moving full time to France in Jan 2012 where I will be working as a freelance contract engineer to a number of Australian based companies. It is my choice to move to France not a work requirement. I will be renting my house out in Austrlalia and renting a house while I am in France. I hold both EU & Austrlain citizenshiip. I am married with 2 young children. Approx total family income $100k AUD.
Do I pay tax in France or Australia or both ?
Any help or guidance would be much appreciated.France move

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