Business taxation 5.
Corporate Income Tax - The corporate income tax rate and tax base
Dear readers, in this blog about the Hungarian business taxation I provide you a general overview about the Hungarian tax regime. This blog does not provide tax or legal advisory. This blog deals with the Corporate Income Tax (The corporate income tax rate and Tax base).
There is only on bracket in the corporate income tax rate, that is nine percent of pretax profits.
The taxable income of resident corporate taxpayers is based on pretax profits, calculated in the profit-and-loss statement prepared in accordance with the accounting rules, with a number of corrections for the differences in deductive and nondeductible items recognized by accounting and tax law. The tax base is the pretax profit modified by the decreasing and increasing items. The pretax profit contains the operating profit, the result on financial operations, modified by the extraordinary profit. The Corporate Income Tax Act contains the requirement of minimum income that is equal to the gross revenue minus the revenue of the foreign premises; multiplied by 0,02.