Hungary Company Formation

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Company formation · European Union

Hungary company formation

The lowest corporate tax in the European Union. We register your Kft. in Hungary, open the bank and tax files, and advise on the residence route for you and your family.

Hungary at a glance

  • 🏢 Entity: Kft. (korlátolt felelősségű társaság)
  • 💰 Minimum capital: HUF 3,000,000 (about €7,500), can be paid over time
  • ⏱️ Formation time: 1–5 working days through the electronic simplified procedure
  • 🧾 Corporate tax: 9% corporate income tax, the lowest in the EU, plus local business tax up to 2%
  • 🌍 Remote formation: Yes, through a Hungarian attorney with power of attorney

Key facts

Hungary company formation facts

Entity typeKft. (korlátolt felelősségű társaság)
Minimum share capitalHUF 3,000,000 (about €7,500), can be paid over time
Formation time1–5 working days through the electronic simplified procedure
Corporate tax9% corporate income tax, the lowest in the EU, plus local business tax up to 2%
VAT27%
RegistryCourt of Registration (Cégbíróság)

Figures on this page are indicative and change often. Government fees, taxes and timelines are confirmed in your written quote after a free consultation. Company formation does not by itself grant residence or citizenship; where a residence route exists we say so and explain its conditions.

Why Hungary

The lowest corporate tax in the European Union

  • 9% corporate income tax on all profits
  • Registration in days, fully electronic through your attorney
  • Budapest offers low operating costs and a large skilled workforce
  • Company can sponsor residence for owners and key staff
🎯

Who it suits

Holding structures, software companies, and manufacturers who want the EU’s lowest headline tax with full single-market access.

Residence

Living in Hungary through your company

Residence route: moderate

Residence permit for the purpose of guest self-employment or investment; permanent residence after 3 years of continuous stay.

Funds required (approx.)Our residence service feeFamily can joinDifficulty
About $8,800$10,300YesModerate

Residence fees are quoted separately from company formation. Government fees, deposits, translations and insurance are not included.

Documents to prepare

  • Passport copies of all members and the managing director
  • Proof of address
  • Specimen signature before a Hungarian attorney (remote possible)
  • Registered seat address (we provide)
  • List of activities with Hungarian TEÁOR codes

Process

How we register your company in Hungary

  1. Consultation

    We confirm Hungary fits your goal and send a written quote.

  2. Documents

    Passport copies, proof of address and powers of attorney.

  3. Filing

    Partner lawyers reserve the name and file with the Court of Registration.

  4. Tax and bank

    Tax numbers issued and bank or payment account opened.

  5. Residence

    Optional: we file the residence application for you and your family.

FAQ

Hungary company formation questions

Does the capital have to be deposited immediately?

At least half is typically paid on formation; the remainder can be paid within the period set in the deed, and dividends are restricted until it is fully paid.

Is the 9% rate real?

Yes. Hungary’s corporate income tax has been 9% since 2017. Local business tax of up to 2% on net revenue and a small innovation contribution also apply.

Can I use the company for EU-wide invoicing?

Yes. With an EU VAT number your Kft. can invoice clients across the single market.