In this article, we would like to explain how the in-kind contribution of a tangible asset should be accounted for and why this type of tangible asset derecognition should be treated differently. First of all, it is important to emphasize that tangible assets can be disposed on several titles, the most common of which are: - sale - transfer in kind - transfer free of charge -... »

In this article, we would like to explain how corporate tax group members should account for corporate tax liability in a group corporate taxpayer. As the legal entity of a group corporate taxpayer is known to have been introduced as of January 1, 2019, it may be important to consider the following when calculating the current corporate tax liability. First of all, it is important to emphasize... »

In Hungary the Government declared an emergency situation, meaning that all indoor gatherings of more than 100 people and outdoor mass gatherings of more than 500 people should be cancelled, furthermore all schools are closed and all shops caffe's and restaurants will have to be closed at 3pm food stores, chemists and pharmacies are the only exceptions. Due to the coronavirus... »

In future a company can decide the precise date of issuing capital, so it should be booked with predecided date not with the Court registration date. It can also happen that registration will be done with a predecided future date. Quality control at Ecovis Audit In January of 2020 Ecovis headquarter performed quality control procedure at Ecovis Audit Hungary the 3rd time. During this qualty... »

We would like to draw your attention to a couple of auditors related news and changes of rules applicable also for the civil sector. Modification in Policy of Mentors by Hungarian Chamber of Auditors From now all mentor has to send the valuation of the auditor candidate within 90 days after finishing mentor year. The auditor or auditing company can not be a mentor if against him there was a... »

What can a condominium do if an owner rents out his unit for Airbnb? On the other hand, what issues should you consider if you wish to provide accommodation services in your apartment? In general it can be said that owners have the right to make use of their flat at their own discretion; while the co-owners have the right to take legal actions against disturbances in the condominium.... »

If we wish to avoid unpleasant surprises in relation to our official summer vacation period, then we do have to be familiar with some important statutory provisions regarding the allocation of summer holidays: Many people are unaware that basically it is the employers’ discretion to allocate summer vacation. However, it is not completely up to the employers to decide about vacation time as... »

The state tax authority (NAV) has prepared around five million provisional personal income tax returns this year which function as a kind of recommendation. However, a provisional tax return is only a draft which is prepared on the basis of the data available in the registries of the NAV and which does not necessarily contain all the data you need to report. What could be those incomes and... »

Paper free Tax Authority The Hungarian Tax Athority – uniquely in EU – launched the paper-free tax audit successfully. This will result in significant cost and time savings to the enterpreneurs. Preliminary announcement on self revision We draw your attention to a new document (18ONELLB). With this document tax payer can announce the future self revision and within 15 days of... »

From 2018, the construction of solar power plants is expected to boom: According to the amendment of the act on the protection of land last year, and to the new measures entering into force this year, the use of poorer quality land for other purposes may be exempted provided that only low-power plants are built and operated thereon. The procedure has become considerably simpler, quicker and... »