On 6 October 2026, Hungary officially published a draft bill proposing the introduction of an annual wealth tax. The proposal originates from the new government led by Prime Minister Péter Magyar.
This is therefore no longer merely a political announcement. A concrete draft bill has now been published and is subject to public consultation until 14 October 2026.
What Does the Proposed Wealth Tax Entail?
| Item | Proposed Rules |
|---|---|
| Taxpayers | High-net-worth individuals and certain wealth-holding structures |
| Exemption threshold | HUF 1 billion (approximately €2.8 million) |
| Tax rate | 1% on net wealth exceeding the threshold |
| Higher tax rate | 1.5% on the portion of net wealth exceeding HUF 100 billion |
| Taxable base | Worldwide net wealth of Hungarian tax residents |
| Valuation date | 31 December 2026 |
| First filing and payment deadline | 31 August 2027 |
Which Assets Would Be Subject to the Wealth Tax?
The proposed legislation has a particularly broad scope and would cover:
-
Real estate located in Hungary and abroad.
-
Bank deposits and financial investments.
-
Shares and equity interests in companies, including unlisted companies.
-
Certain high-value movable assets.
-
Assets held through trusts, foundations or other wealth-holding structures.
In principle, assets would be valued at their fair market value. Certain real estate and vehicle taxes already paid could potentially be credited against the wealth tax liability.
What Are the Implications for International Taxation?
From an international tax perspective, three aspects are particularly noteworthy.
1. Tax residency becomes increasingly important
Hungarian tax residents would, in principle, be subject to wealth tax on their worldwide net wealth.
The draft legislation also contains provisions concerning non-residents, making it important to examine the territorial scope of the proposed tax and the relevant connecting factors.
2. International wealth-holding structures are specifically targeted
The proposal explicitly addresses assets held through trusts, foundations and other wealth management structures.
This could have significant implications for high-net-worth individuals, international entrepreneurs and shareholders who hold assets through such arrangements.
3. Double taxation and emigration require careful consideration
In cross-border wealth situations, it will be important to assess how the proposed Hungarian wealth tax interacts with wealth taxes imposed in other jurisdictions and whether any protection may be available under applicable tax treaties.
The potential implications for individuals relocating to or from Hungary will also require further examination.
Please note: The above information relates to proposed legislation and remains subject to the final adoption and wording of the law.
Opmerking: Dit is een getrouwe, professioneel geformuleerde vertaling van je aangeleverde tekst, geen onafhankelijke bevestiging van de Hongaarse wetsvoorstellen. Voor publicatie zou ik de genoemde bedragen, tarieven en termijnen nog laten bevestigen door jullie Hongaarse UTN-collega’s.
