March 27, 2018 | Legal
Business mediation is a quick, cost-efficient and private way of dispute settlement and the success of which depends on the parties’ ability to reach consensus. The mediator of the dispute does not make a decision, but helps the parties by approximating their interests and goals.   This mutual and unique dispute resolution can replace in many cases the costly, complicated and lengthy... »
March 13, 2018 | Legal
The Act on Fixed-rate Tax of Low Tax-bracket (a.k.a. KATA) provides an extremely favorable condition for taxation, however many misuse it: to reduce taxes, enterprises rather make independent contractor agreements falling under small business tax with their employees. This is clearly a disguise for employment. If the reported revenue exceeds HUF 1 million a year, the tax administration will... »
February 27, 2018 | Legal
Most call centers record telephone calls and the caller is informed of it by an automated voice. However, our voice is a type of personal data and its recording and storage is lawful if a compulsory law prescribes it or the person involved in the call has given consent to be recorded. This conduct is obvious in the case of certain companies and public services providers who fall under the... »
February 13, 2018 | Legal
Under the regulation of the European Union airlines are obliged to pay compensation to passengers in the event of denied boarding, cancellation or delay of flights. If your flight has been delayed by at least 3 hours, it can somewhat ease your mind that you are entitled to EUR 250-600 in compensation. But what exactly does it depend on how much money you will get? Which flights and what... »
January 30, 2018 | Accounting
Corporations may face some trouble with approved but unpaid dividends. If they revoke the general meeting resolution which approved the dividend the proprietors can decide by releasing the dividend. See on the following how this affects taxation: Regarding the corporate tax and dividend law (year 1996, LXXXI law 29/Q. § (3) paragraph) the ammount of unpaid released dividend, accounted as... »
January 30, 2018 | Legal
In 2018 six Saturdays will be working-days. Practice shows that many of the employers either allow employees leave office earlier or do not even request them to go to work at the weekend. However employers can decide to allocate vacation time to Saturdays being working-days and in this case employers have no other choice but to accept it unless their labor contract specifies otherwise. How is... »
January 16, 2018 | Legal
The Government Decree no. 455/2017. (XII.27.) entered into force on the 27 of December, 2017 grants pre-emptive rights in favour of the Hungarian State in respect of some ten thousand real estates located at world heritage sites. How do you know where these sites are? What does it even mean that the State has a pre-emptive right on the real estates listed on 1824 pages in the annex to the... »
January 10, 2018 | Audit
Registration of bank accounts held abroad All companies must register number of bank accounts held abroad together with name of Bank and date of opening and closing bank account within 15 days from 1st January 2018. If the Company fails to do this registration the fine could be maximum 600k HUF. Rent a flat From 1st January there is no 14% health contribution liability for those private... »
January 10, 2018 | Accounting
When selling digital currency, we must check if this generates profit or loss. In case of companies this should be shown as financial income or expenditure. In case of individuals even the fund of cryptocurrency is taxable. In order to obtain Bitcoin one method is the „Bitcoin Mining”. The kernel of this is that the individual can obtain money through the use of a software. Currently the value... »
January 05, 2018 | Audit
There is only 2 years left to reclaim VAT without self revision. There was a change in section 153/A par. (1) of Law on VAT 2007. CXXVII. in 2016. Before this change the Companies could reclaim VAT without self revision within 5 years. Due to change in 2016 this period has been decreased to 2 years. So this means that VAT reclaimable with performance date in 2016 could be deducted latest in... »