Dmitri Mihhailov
Managing Partner
Founder of Prifinance. 15+ years structuring international companies, banking and licensing for founders worldwide.
Register a company in Hungary, nine percent, said out loud.
Company setup in Hungary is available remotely - a Kft. with the EU's lowest corporate tax at 9%, zero withholding on dividends to foreign companies, and a court e-registry that works in days. We are equally plain about the asterisks: a local business tax on adjusted turnover, the world’s highest standard VAT rate at 27%, and the forint to account for in treasury management.Company setup in Hungary is available remotely - a Kft. with the EU's lowest corporate tax at 9%, zero withholding on dividends to foreign companies, and a court e-registry that works in days. We are equally plain about the asterisks: a local business tax on adjusted turnover, the world’s highest standard VAT rate at 27%, and the forint to account for in treasury management.
27 yrs
on the international marketon the market
60+
in-house specialistsspecialists
6,000+
companies servedcompanies served
Updated
Hungary · at a glance
Legal formKft. · LLC
Time to set up3-10 business days
Corporate tax9% - EU's lowest
Dividends to companies0% withholding
Minimum capitalHUF 3M ≈ €7,600
Remote setupYes - by POA
4.7
★★★★★
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Hungary in brief
The EU's lowest rate, with the fine print attached.
Hungary planted its flag at 9% corporate tax - the lowest headline in the European Union - and built a manufacturing economy on top of it: Audi, Mercedes and BMW assemble here, battery plants follow them, and Budapest runs one of Europe's largest shared-service hubs. The holding layer is genuinely elegant: Hungary levies no withholding at all on dividends paid to foreign companies, and a participation exemption covers qualifying gains - quiet machinery serious groups use. Company incorporation in Hungary is lawyer-countersigned and electronic; the court registers a Kft. in days.
The fine print, said plainly: the local business tax (HIPA) adds up to 2% - charged on adjusted turnover, not profit, which stings low-margin trade; the innovation contribution adds 0.3% where applicable; so the honest all-in for most businesses lands near 11-12%, still the union's best. VAT is 27% - the highest anywhere - priced into any consumer-facing plan. The forint floats with a temper, filings run in Hungarian, and the Kft.'s HUF 3 million capital has flexible payment mechanics with dividend strings attached until it's paid. We structure around each of these on day one.
Packages & pricing
Hungary planted its flag at 9% corporate tax - the lowest headline in the European Union - and built a manufacturing economy on top of it: Audi, Mercedes and BMW assemble here, battery plants follow them, and Budapest runs one of Europe's largest shared-service hubs. The holding layer is genuinely elegant: Hungary levies no withholding at all on dividends paid to foreign companies, and a participation exemption covers qualifying gains - quiet machinery serious groups use. Company incorporation in Hungary is lawyer-countersigned and electronic; the court registers a Kft. in days.
The fine print, said plainly: the local business tax (HIPA) adds up to 2% - charged on adjusted turnover, not profit, which stings low-margin trade; the innovation contribution adds 0.3% where applicable; so the honest all-in for most businesses lands near 11-12%, still the union's best. VAT is 27% - the highest anywhere - priced into any consumer-facing plan. The forint floats with a temper, filings run in Hungarian, and the Kft.'s HUF 3 million capital has flexible payment mechanics with dividend strings attached until it's paid. We structure around each of these on day one.
Packages & pricing
Packages & pricing
Company formation in Hungary - cost & packages.
01 - KFT. · KORLÁTOLT FELELŐSSÉGŰ TÁRSASÁG
Company
from€1,900EUR · all-in
Remote company registration in Hungary - lawyer-countersigned Kft. deed, court e-filing, tax and VAT numbers and the first year of the registered address included.
✓Deed drafted & countersigned by our lawyer✓Court e-registration & fees included✓Tax number & EU VAT number handled✓Registered address in Budapest - first year✓HIPA & chamber registrations filed✓Free pre-incorporation consultation
Optional add-ons: holding structuring - from €700 · accounting - from €180/month · annual renewal - from €1,600/year.Optional add-ons: holding structuring - from €700 · accounting - from €180/month · annual renewal - from €1,600/year.
Start with Company →02 - KFT. · KORLÁTOLT FELELŐSSÉGŰ TÁRSASÁG
Most popularCompany + Bank Account
from€3,500EUR · all-in
A working Kft. with a Hungarian bank account - HUF and EUR balances, cards and online banking with one of the major banks.
✓Everything in Company✓Account with OTP, K&H, Erste or Raiffeisen✓Account application & KYC file preparation✓Introduction to 2-3 suitable banks✓Compliance onboarding support✓Dedicated account manager
Start with Banking →What you can doWhat you can do
What you can do
Popular uses for a Hungarian company.
Manufacturing & automotiveManufacturing & automotive
The Audi-Mercedes-BMW supply chain, now joined by Europe's battery belt.
Holding structures
0% withholding to corporate shareholders and participation exemption - the quiet Hungarian edge.
IT & shared services
Budapest's SSC hub - multilingual operations at 9% corporate and 15% flat personal tax.
Trade & distribution
The CEE crossroads between Vienna, Belgrade and Bucharest.
E-commerce
EU VAT machinery - with the 27% rate deliberately priced into consumer plans.
Financial services licensed
Payment and investment firms under MNB licensing.licensed
Why Hungary
The Audi-Mercedes-BMW supply chain, now joined by Europe's battery belt.
Holding structures
0% withholding to corporate shareholders and participation exemption - the quiet Hungarian edge.
IT & shared services
Budapest's SSC hub - multilingual operations at 9% corporate and 15% flat personal tax.
Trade & distribution
The CEE crossroads between Vienna, Belgrade and Bucharest.
E-commerce
EU VAT machinery - with the 27% rate deliberately priced into consumer plans.
Financial services licensed
Payment and investment firms under MNB licensing.licensed
Why Hungary
Why Hungary
Key advantages of the jurisdiction.
✓
One flat rate since 2017, survived every budget cycle - the union's benchmark floor.
0% corporate withholding0% corporate withholding
✓
Dividends to foreign companies leave Hungary untaxed - a real holding advantage.
15% flat personal15% flat personal
✓
Owners who relocate pay one flat rate - simple arithmetic, no brackets.
Court e-registry in daysCourt e-registry in days
✓
Lawyer-countersigned filings register in 1-5 business days.
Manufacturing ecosystemManufacturing ecosystem
✓
OEM supply chains, industrial parks and a workforce that builds things.
Group taxationGroup taxation
✓
Hungarian group members consolidate results - losses offset profits inside the group.
How it comparesHow it compares
How it compares
Hungary next to the usual shortlist.
CountryCountry
| Corporate tax | Dividends | Signature edge | Hungary |
|---|---|---|---|
| 9% + ~2% HIPA | 15% ind. · 0% corp. | Lowest headline · holding 0% | Bulgaria |
| 10% | 5% | Lowest owner totals | Czechia |
| 21% | 15% | Engineering substance | Poland |
| 19% · 9% small | 19% | Scale of the market | Romania |
| 16% | 16% | Size + Black Sea | Requirements |
9% + ~2% HIPABulgaria
Dividends15% ind. · 0% corp.
Signature edgeLowest headline · holding 0%
10%Czechia
Dividends5%
Signature edgeLowest owner totals
21%Poland
Dividends15%
Signature edgeEngineering substance
19% · 9% smallRomania
Dividends19%
Signature edgeScale of the market
16%Requirements
Dividends16%
Signature edgeSize + Black Sea
Requirements
What Hungarian law actually demands.
01
One shareholder - Individual or company, any nationality - 100% foreign ownership is standard.
02
Managing director - At least one ügyvezető; non-residents can serve without a local co-director.
03
Capital - HUF 3M - ≈ €7,600; payment can be phased, but dividends are restricted until it's fully in - we plan the mechanics.
04
Registered address - A Hungarian seat for the court register - included in our package.
05
Lawyer countersignature - Incorporation documents must be countersigned by a Hungarian attorney - ours - and e-filed at court.
06
Accounts & filings - Monthly VAT and payroll, annual statements published, all in Hungarian - our accountants carry them.
How it works
How to set up a company in Hungary in days.
Business registration in Hungary is handled through our attorneys and the court's e-registry - you sign a power of attorney, and most companies are registered within a week.Business registration in Hungary is handled through our attorneys and the court's e-registry - you sign a power of attorney, and most companies are registered within a week.
01Same day
Free consultation
We confirm Hungary fits your case - and say so plainly if Bulgaria or Czechia serves the goal better.
021-3 days
KYC & POA
Passports, proof of address and an apostilled power of attorney; the deed is drafted.
031-2 days
Countersign & e-file
Our attorney countersigns and files electronically at the registry court.
041-5 days
Court registration
The Kft. and its tax number are issued - often within days.
052-5 days
VAT & HIPA
EU VAT number, local business tax and chamber registrations completed.
061-2 weeks
Banking
We introduce the company to the major banks and support onboarding.
Quick facts
Legal formKft.
Shareholders1+, any nationality
Corporate tax9% + ~2% HIPA
Dividends15% ind. · 0% corp.
Standard timeline3-10 business days
CapitalHUF 3M - phased
Renewal & accountingFrom €1,600/year
Taxation 2026
On the ground
On the ground in Hungary.
Prifinance - Hungary
Budapest
Budapest, Hungary
01
CEE-desk specialists
Your setup is run by a team registering companies across the Visegrád markets every month.
02
Attorney & court handled
Countersigned deeds, e-filings, tax and HIPA registrations - sequenced correctly the first time.
03
Accounting in Hungarian, reported in English
Monthly filings carried locally, with reporting you can actually read.
04
Also in Tallinn, London, Dubai & more
A network of offices across Europe, the Gulf and the Americas - one team for your whole international structure.
We also have offices in
Tallinn
Estonia
Roseni 13
Hong Kong
Hong Kong
5/F, Yau Lee Centre, 45 Hoi Yuen Road, Kwun Tong
Vilnius
Lithuania
Gedimino pr. 2
London
United Kingdom
7 Bell Yard
Prague
Czech Republic
Vlkova 532/8, Žižkov
Berlin
Germany
Rankestraße 26
Madeira
Portugal
Rua da Alegria 31, 1F
Istanbul
Türkiye
Perpa Ticaret Merkezi, A Blok
Dubai
UAE
33 Level, Al Saqr Business Tower
Toronto
Canada
1110 Finch Avenue West, suite 406
Singapore
Singapore
3 Church Street, #29-68 Samsung Hub
Bangkok
Thailand
Unit P01, Penthouse, VASU1, 1 Sukhumvit 25 Alley
Foshan
China
A-Tower, Yuneng Digital Plaza, 46 Lishui Avenue South
Almaty
Kazakhstan
Republic Square 13
Bishkek
Kyrgyzstan
32 Razzakov Street
Taxation 2026
Nine plus the honest extras.
Corporate tax is 9% - the EU's floor; €750M+ groups are subject to a 15% effective minimum under Pillar Two. The honest extras: local business tax up to 2% on adjusted turnover (municipality-set), and, where applicable, a 0.3% innovation contribution - landing most businesses near 11-12% effective. Dividends to individuals carry 15%; to foreign companies, nothing at all. VAT is 27%, the world's highest headline rate.Corporate tax is 9% - the EU's floor; €750M+ groups are subject to a 15% effective minimum under Pillar Two. The honest extras: local business tax up to 2% on adjusted turnover (municipality-set), and, where applicable, a 0.3% innovation contribution - landing most businesses near 11-12% effective. Dividends to individuals carry 15%; to foreign companies, nothing at all. VAT is 27%, the world's highest headline rate.
Corporate tax - 9%
Flat since 2017; group taxation lets Hungarian members consolidate.Flat since 2017; group taxation lets Hungarian members consolidate.
HIPA - up to 2%
On adjusted turnover, not profit - the line that matters for low-margin trade.On adjusted turnover, not profit - the line that matters for low-margin trade.
Dividends - 15% / 0%
15% to individuals; zero withholding to corporate shareholders anywhere.15% to individuals; zero withholding to corporate shareholders anywhere.
VAT - 27%
The world's highest - deliberate pricing for consumer plans; exports zero-rated.The world's highest - deliberate pricing for consumer plans; exports zero-rated.
Levies in 2026
Corporate income tax9%
Local business tax (HIPA)0-2%
Effective typical~11-12%
Dividends15% ind. · 0% corp.
VAT27%
Renewal & accountingFrom €1,600/year
FAQ
Your team
The specialists who'll handle your case.
Eugeniu Bevziuc
International Business Consultant
Guides clients from the first consultation to a working setup - companies, accounts and substance in 60+ jurisdictions.
Alex Danila
Corporate Services Specialist
Handles incorporation paperwork, KYC and bank introductions so your Hungarian company launches without delays.
Follow Prifinance
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Watch: opening a company in Hungary with Prifinance
The EU's lowest rate with the fine print managed - company, bank, HIPA and holding flows in one project. Full support, start to finish.
Talk to a specialist →FAQ
Company registration in Hungary, answered.
Can I open a company in Hungary without visiting?+
Yes - you can start a business in Hungary without visiting. With an apostilled power of attorney, our Hungarian attorney countersigns the deed and e-files it at the registry court; tax, VAT and HIPA registrations follow remotely. Banks vary - some onboard by video, some prefer one meeting. We route you accordingly.
How much does it cost?+
Turnkey registration starts from €1,900, including court fees, the attorney's countersignature and the first year of the registered address. With a bank account arranged, packages start from €3,500. Renewal with basic accounting runs from €1,600 a year.
Is the tax really 9%?+
The corporate rate is - the EU's lowest, unchanged since 2017; €750M+ groups are subject to a 15% effective minimum under Pillar Two. The honest add-ons: local business tax up to 2% on adjusted turnover and, where applicable, a 0.3% innovation contribution, so most companies land at 11-12% effective. Still the union's best headline arithmetic - and we show your exact number before you commit.
What is HIPA and why does it matter?+
The local business tax: up to 2%, set by the municipality, charged on adjusted turnover rather than profit. For services and healthy-margin businesses it's often manageable; for high-volume low-margin trade it can outweigh the 9% itself. This is the calculation we run first for trading companies - sometimes it sends them to Bulgaria, and we say so.
How are dividends taxed?+
To individuals - 15% PIT, plus capped 13% social contribution where applicable. To foreign corporate shareholders - zero: Hungary levies no withholding on outbound dividends to companies, treaty or not. That single rule makes the Kft. a serious holding and profit-routing vehicle for groups, and we structure around it deliberately.
How does the HUF 3M capital work?+
About €7,600, and the mechanics are flexible: payment can be phased rather than fully banked upfront, but until it's fully paid, the company faces dividend restrictions and member liability nuances. Most clients simply fund it at the start and move on - we advise per case.
Why is VAT 27% and does it matter?+
Honest answer: it's the highest in the world, and it matters exactly when you sell to Hungarian consumers. B2B, export and intra-EU flows are largely pass-through or zero-rated. We price it into consumer models rather than let it surprise you.
How is banking?+
Solid and regional: OTP (the CEE giant), K&H (KBC), Erste, Raiffeisen and UniCredit, with HUF and EUR accounts side by side. Foreign-owned companies pass real KYC; some banks like one meeting. We prepare the file, pick the right desk, and can run an EU EMI in parallel from day one.
Hungary or Bulgaria?+
For an individual owner taking profits home, Bulgaria usually wins: 10% + 5% beats 9-11% + 15%. For corporate groups routing dividends, Hungary wins: zero withholding to companies and group taxation. Manufacturing supply chains also favour Hungary's ecosystem. The answer is your ownership structure - and we give it honestly on the first call.
How long does it take?+
The court e-registry is fast: with documents ready, registration lands in 1-5 business days - plan 3-10 end-to-end, including VAT and HIPA. Banking adds one to two weeks. The apostilled POA is the item to start early; we chase everything else.
Client notes
Google4.7★★★★★
Founders who wanted it done right.
Google4.7★★★★★
“As a software development crew at FewMoreTaps OÜ, we've had the pleasure of working with Prifinance on some key financial moves.First of all, navigating the world of corporate banking and finance can be a maze, but Prifinance made it feel like a walk in the park. They helped us set up a corporate bank account without the hassle of jumping on a plane or drowning in paperwork. Everything was done remotely, smoothly…”
Google
“I had their assistance in company registration and I would recommend them. They were answering all my clarification during the process and offering all their supportThank you Daniel and Irinia”
Google
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Google
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Google
“Opening an account with Prifinance in a Swiss bank was such an easy and quick process that I was shocked. It all started with the first call, where I received detailed guidance on the required documents and the entire procedure.One of the key highlights was their attention to detail. As someone who usually gets tangled up in paperwork, I was pleasantly surprised when they sent me all the documents and…”
Google
“I recently had the pleasure of working with Boris.. and I must say, it was a fantastic experience. Boris went above and beyond to assist me with my residency needs. His professionalism, knowledge, and dedication truly stood out. I highly recommend working with Boris and the team!”
Google
More from Prifinance
Other jurisdictions & licenses.
Free consultation
Start your Hungarian company today.
Tell us about your business and a specialist will reply within one business day with an honest recommendation - Kft., a CEE alternative or a different flag - a timeline and a fixed quote.A Hungary specialist will reply within one business day with an honest recommendation, a timeline and a fixed quote.
✓No obligation - the first consultation is free✓A clear recommendation, not a sales pitch✓Transparent fixed fees, confirmed up front✓EN · RU speaking team