Hungary is a small republic located in the European Unions Central- Eastern flank. It offers one of the most advantageous tax environment to run a business in the European Union and even the whole world. 10 advantages that you may profit from, if you set up a hungarian company

Even though Hungary offers some unique benefits, it's advised to trust your company formation on an experienced agent like us. Hungarian tax system has some unique benefits, but it's extremely complicated, and you need our tax lawyers to guide you through.

On the other hand, as a non-resident you need recommendation from a well known local entity for banks to trust you, and we are in partnership with several market leading brands. 

We have experience with more than a thousand foreign clients, and we know the kind of service you need. We cover all aspects of company formation from A-Z

Our main activity is to help businesses like yours.

To get your hungarian company formation started, click here!

Warning, your attention please! A company in a specific country is not a „one size fits all” solution. You definitely shall not purchase this specific service without guidance from a properly qualified professional. The benefits we’ve listed are true, but to profit from them, you need a personalized tax planning, and first off, you need to consult with a professional, wether your specific business is eligible for those benefits or not. According to statistics, one third of companies set up by foreigners in the countries where we’re active, don’t survive till the second year. The reason is, that people are deluded into believing, that a tax optimization plan can actually work without any personal planning and individualization. The benefits we have disclosed here, are only valid for the clients, that are guided through the whole process by our highly qualified and experienced professionals. Detre Varga & Partners LLP. assumes no liability, if internet users try to implement our know-how by hiring third persons instead of us.

Start your hungarian company formation here!

It’s important to note, that not all activities and not all countries citizens are eligible for the full range of benefits of a hungarian company. A hungarian company formation shall be planned well by our tax advisory team, taking all aspects of your business activity to consideration. Tax law shall be approached by professionals with 10+ years of experience. Neglecting preliminary consultation and planning may lead to risks of sanctions, or even criminal charges. 

 

As said before, a hungarian company is the best option for activities generating incomes and providing services (or selling goods) outside Hungary. If you plan to sell products or services within Hungary, you may still see great tax benefits, but you need to consult with our experts, on how to optimize your taxes the most. 

 

Beside taking the locality (inside or outside Hungary) into consideration, there are some activities, which are most suitable to pursue with a hungarian company.

 

It is not sufficient receive advice on Hungarian taxation, you need to talk with our expert about the international tax treaties between Hungary and your country of tax residency (the state in which you’re counted as a tax resident). 

 

This means that before setting up a hungarian company you need to find out, in which state(s) you’re counted as a tax resident. This sometimes requires complex analysis by an expert. 

 

There are no quick fixes, shortcuts or simple solutions. You need to understand the basic concepts of your businesses and your personal taxation. Anyone trying to sell you a standard, one size fits all solution, is not to be trusted. The company formation is only 10% of the solution, 90% is the individual tax planning and consultation, that’s inevitable to get a successful start. 

Can I get an EU (Schengen) visa (residency, etc.) through my hungarian company?

It is possible to become an european union (hungarian and Schengen) resident as shareholder and CEO of a hungarian domestic company, but it’s not as easy as some agencies may show. The opportunity is there, but to get a hungarian residency you need to prove to the hungarian government, that your company is able to sustain yourself, and will create value (ultimately in the form of taxes) to the hungarian economy. Therefore, don’t count on getting a company residency any time sooner than at least three months. Your company needs to have a track record, it needs to prove itself, and trust from hungarian authorities does not come easy. 

 

How much does a hungarian company formation cost?

 

You’ll get specialized consulting with us, so we can get a better understanding what you’re actually dealing with, and your specific circumstances. Based on this, we’ll recommend you a solution, that’s the best for you personally. E.g. we need to decide together, wether a private individual or an other company of yours shall own a hungarian company. Holding shares of a hungarian company with a specific foreign company may double the benefits, but the setup cost will obviously be higher. Therefore, it’s difficult to assess how much exactly a hungarian company formation would cost. 

 

How can Hungary be so advantageous for foreign businessmen?

 

In the 20th century it had lost two world wars, both of which has diminished it's population and economy, and 2/3 of it's territories. After the fall of the Soviet empire in the beginning of the 1990s, Hungary has waken up to a new day in an economic disaster. The only way out was to attract foreign capital, with any means possible, to source funds to rebuild the economy. Interestingly, even though every four years, left and right parties fight a fierce verbal battle for governance, every single governing capable party keeps attracting foreign capital as a main goal. 

What are the steps of a hungarian company formation?

 

You need to book an appointment for a hungarian company formation on our website (see below).

 

To complete the booking, you’ll need to answer a few questions. It’s not meant to bother you, but we’re extremely busy, so if we once sit down with you online, and spend almost an hour on you, we need to be as prepared as we can be, to give you well reasoned, substantial advice.

 

Once you’re done with the booking, we’ll consult with you online, and come to a conclusion, wether and how we can cooperate with you. Thanks to the screening questions mentioned above, and our experts preparation for our online consulting session, in just one go, we can reach a conclusion together, in which jurisdiction you should be incorporating, and we can jump to the incorporation process right away.

 

At the next step, we guide you through the incorporation process fully online. Your hungarian company may get registered within 2-3 days. This allows you to purchase your company domain, open an online IBAN number, and start your activity. However if you need a local hungarian bank account, it will take a bit longer. In this case, you’ll need a hungarian tax number, that may take a few days. The total process can take even 2 weeks. 

 

To get started right away, book an appointment here!