Tax changes for 2027: what can companies expect?

What are the most important anticipated changes in corporate taxation?

According to the plans, the corporate income tax rate for large companies with the highest annual revenues (with a threshold of HUF 180 billion) would increase from the current 9% to an expected 15%. It is not clear whether this threshold will apply at company or group level, or whether the higher rate will apply to the entire tax base or only part of it under a revenue-proportionate calculation. The Government also plans to restructure the system of corporate income tax incentives based on new priorities and stricter eligibility criteria.

The innovation contribution may also increase from 0.3% to 0.5%. Since the base of the innovation contribution is the same as the base of the local business tax, this could be particularly burdensome for companies without significant cost of goods sold, material costs or subcontracted services - for example, labour-intensive service companies - because for them it may essentially amount to a tax on revenue.

The introduction of a wealth tax on private individuals with assets exceeding HUF 1 billion was also announced earlier. This may be an important issue for companies owned by such individuals, as it may affect how profits are used, depending on the owner's decision. In the case of companies with equity exceeding HUF 500 million, the identification, audit and reporting to the tax authority of the 'hidden reserves' associated with the market value of real property and shareholdings may also entail administrative work.