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Two new optional tax schemes will be introduced from 2013 for small entrepreneurs: the flat tax ("KATA") and the small entrepreneurs' tax ("KIVA"). This article summarizes the key rules and conditions of the small entrepreneurs' tax. (This article is available in Hungarian only.)

Two new optional tax schemes will be introduced from 2013 for small entrepreneurs: the flat tax ("KATA") and the small entrepreneurs' tax ("KIVA"). This article summarizes the key rules of the flat tax scheme. (This article is available in Hungarian only.)

Key changes: Transfer of a business unit. Cash-flow based VAT. Invoicing, simplified invoices, electronically issued invoices. Extension of the domestic reverse charge procedure. The threshold for tax exempt small enterprises increases to HUF 6 million. Place of supply rules of the long-term hiring of vehicles. VAT deduction on repair and maintenance services related to passenger cars. VAT refund for foreign taxpayers. (This article is available in Hungarian and German.)

Key changes: Special tax rules of intangible assets and shares reported to the tax authority. Definition of a controlled foreign company (CFC). Calculation of the alternate minimum tax base. Triple tax base allowance for research and development (R&D) costs. Thin capitalization. Loss carry-forward. Development tax allowance. Deductibility of product samples transferred. Non-deductibility of subsidies provided to small entrepreneurs that are subject to the special tax scheme ('KIVA'). (This article is available in Hungarian and German.)

Key changes from 2013: Definition of significant mistakes in the financial statements. Simplified financial statements for micro-entrepreneurs. Accounting of subsidies. Loss-in-value of inventories. Consolidated financial statements. Early payment discount. Data content of the financial statements when changing to a business year different from the calendar year. Use of electronic documents in the accounting. (This article is available in Hungarian and German only.)

The calculation of the personal income tax based on an adjusted, increased tax base ("superbrutto") will be repealed. Benefits in kind (cafeteria) will be more expensive. New tax rules of insurance contributions. (This article is available in Hungarian and German only.)

Key changes from 2013: Obligatory representation by tax lawyers or tax consultants in certain procedures. Changes in the area of competence of the customs authority and tax authority. Amended rules of binding ruling requests. Simplification of administration requirements. New rules in the suspension and deletion of tax identification numbers. Risk analysis carried out by the tax authority. Certificates issued by the tax authority. Self-revision. Reporting of the online access to electronically issued invoices to the tax authority. (This article is available in Hungarian only.)

Key changes from 2013: Amendments in the special tax schemes for small entrepreneurs ('KATA', 'KIVA'). When calculating the local business tax base, the net revenues may be reduced by the costs of goods sold and mediated services with limitations. The calculation method of temporary activities subject to local business tax has been changed. The uniform rate of the inheritance tax and the gift tax will be 18%. The 2% reduced transfer tax for the acquisition of residential property cannot be applied anymore. The special transfer tax rules for transactions that were concluded below the market price will not be applicable. (This article is available in Hungarian and German.)

Comprehensive tax law changes were adopted in Hungary in June 2012, parts of which will take effect or have taken effect already in 2012. Other changes relate to 2013. Concerning the corporate income tax changes, we summarize the tax rules for the waiver of dividend liabilities. (This article is available in Hungarian only.)

Comprehensive tax law changes were adopted in Hungary in June 2012, parts of which will take effect or have taken effect already in 2012. Other changes relate to 2013. It is important to review the changes in VAT for 2013 already now, because the required modification of the information systems may take time. Similarly to transactions within the EU, summarizing statements will be introduced for the reporting of domestic transactions. Above a certain threshold it will be obligatory to indicate the customer's VAT number on the invoices. (This article is available in Hungarian only.)