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Hungary Reintroduces a Temporary Retail Turnover Tax to Fund Economic Action Plan for COVID-19 and Intends to Make it Permanent

01 May 2020

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Approved Changes

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Hungary

Hungarian Government Decree 109/2020 of 14 April 2020 entered into force on 1 May 2020 and provides for the (re)introduction of a retail turnover tax that applies for retail sales, including online retail sales by non-residents. The tax is meant to fund the economic action plan for COVID-19 and is levied at progressive rates based on the amount of annual net retail turnover in the previous year: up to HUF 500 million - 0% over HUF 500 million up to HUF 30 billion - 0.1% over HUF 30 billion up to HUF 100 billion - 0.4% over HUF 100 billion...