Hungary Corporate Income Tax
Detailed corporate income tax rates and rules for Hungary in 2026.
Hungary levies the EU's lowest corporate income tax (társasági adó - TAO) at a flat 9% rate on all taxable profit. A local business tax (helyi iparűzési adó - HIPA) of up to 2% on adjusted net sales revenue is also levied by municipalities. Small businesses can opt for the KIVA (small business tax) at 10% on a simplified tax base.
Standard Rate
9%
Additional Notes
Hungary offers a development tax incentive (fejlesztési adókedvezmény) providing up to 80% corporate tax reduction for qualifying investments. The country also has an IP box regime providing favorable treatment for income from qualifying intellectual property. Hungary has implemented EU Anti-Tax Avoidance Directives. Tax losses can be carried forward for 5 years and can only offset 50% of the current year's pre-loss tax base.
How Hungary Corporate Tax compares
Hungary’s corporate tax rate of 9% is the 189th highest of 203 countries TaxAtlas tracks, below the global average of 22.2% and Europe’s regional average of 19%.
