Tax Cut From 1 July

Social contribution tax is cut by 2% from 1 July.

There is a long term agreement between the government and the employers about the reduction of the social contribution tax at certain conditions. This tax is payable by the employers on the gross salaries. A few years ago, it was 27%, and then it was gradually cut every year. This strategy did not change during the Covid crisis. From July 2020, it is cut again by 2% to 15.5%. The employment has never been so cheap in Hungary.

Recent Posts

business in hungary
April 22, 2025

BUSINESS IN HUNGARY

As a booming economy in the middle of Europe, and a member of the European Union, Hungary offers great opportunities for foreign companies to invest…

Continue reading
VAT Registration in Hungary - Leinonen
April 9, 2025

VAT Registration in Hungary: What do Businesses Need to Know in 2025?

Having a robust understanding of rules and regulations surrounding VAT registration in Hungary saves significant money, time, and hassle for businesses. In this article, we…

Continue reading
Public Holidays in Hungary: What are Your Responsibilities as an Employer? - Leinonen
March 7, 2025

Public Holidays in Hungary: What are Your Responsibilities as an Employer?

National holidays grant Hungarian citizens the opportunity to remember significant historical events, and take part in important religious and cultural traditions. As an employer, you…

Continue reading