January 26th, 2012

New rules slow setting up new businesses in Hungary

red-tape

Setting up a business in Hungary has become somewhat lengthier since January this year after new regulations require a tax registration procedure to take place before a business is issued a tax number. Previously, start-up businesses received their tax numbers automatically but as of 2012 the national tax authority NAV has been running background checks on the owners, managers and members of a new business before it is granted clearance.

Another amendment effective January this year requires businesses to register with their respective chambers of commerce, for which they have to pay a HUF 5,000 fee.

The registration does not automatically grant membership but the registration fee can be deducted from the member fee. [vg.hu]

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