Why Hungary?
A Hungarian Kft (Korlátolt Felelősségű Társaság) gives you access to the lowest corporate tax rate in the entire European Union at just 9%. Combined with full EU membership, a skilled workforce, and competitive operational costs, Hungary is an excellent choice for businesses seeking a cost-effective European presence.
Note for U.S. citizens: The U.S. taxes citizens on worldwide income regardless of residence. Hungary's low corporate tax benefits non-U.S. persons directly. Americans can still benefit from EU market access, the treaty network, and business credibility.
Incorporate in Hungary with full legal support - no visit required.
9% Corporate Tax - The lowest flat rate in the European Union
Full EU Membership - Access to the single market and all 27 member states
0% Withholding Tax - On dividends paid to EU parent companies
IP Box Regime - 50% exemption on qualifying intellectual property royalties
80+ Tax Treaties - Extensive double taxation agreement network
Low Operational Costs - Significantly lower than Western Europe
Who Is This For
International holding companies seeking the lowest corporate tax rate in the EU at just 9%
E-commerce and trading businesses wanting full EU market access with minimal tax burden
IP-intensive businesses that can benefit from the 50% IP Box exemption on qualifying royalty income
Service companies and consultancies seeking a credible EU legal entity
Manufacturing businesses attracted by Hungary's skilled workforce and low operational costs
Non-EU founders establishing a European operational base with straightforward company formation
Anyone building an international structure who needs a legitimate EU company with competitive taxation
The Process
Step 1: Submit Your Documents
Submit your proposed company name, copy of your passport, proof of address, and complete our due diligence form.
Step 2: Company Registration Filed
We draft your Articles of Association and file your incorporation documents with the Hungarian Court of Registration.
Step 3: Receive Your Legal Company Package
Receive your complete legal company package, including registration certificate, tax number, and all corporate documents.
Requirements
Passport - Clear copy of your valid passport
Proposed Company Name - Your preferred company name for registration
Proof of Address - Recent utility bill or bank statement dated within the last 3 months
Due Diligence Form - Completed due diligence form (we provide the template)
Director and Shareholder Details - Minimum one director and one shareholder (any nationality)
Share Capital - Minimum HUF 3,000,000 (approximately EUR 7,500) for Kft
What's Included
Company formation and legal registration - Full registration with Hungarian Court of Registration
Articles of Association drafting and filing - Prepared and submitted on your behalf
Registered office address - 1 year included
Tax number registration - Registration with Hungarian tax authority (NAV)
VAT registration - If applicable to your business activities
Digital corporate documents - All incorporation documents delivered digitally
Ongoing legal support and guidance - Our team is available throughout the process
Timeline
| Milestone | Timeframe |
|---|---|
| Document submission and due diligence | Day 1 |
| Company name approval | 1-2 business days |
| Court registration complete | 5-10 business days |
| Travel to Hungary | Not required |
Important Notes
No travel required - The entire Hungary company formation process can be completed remotely.
9% corporate tax - The lowest in the EU. Hungary has maintained this rate since 2017.
Local industry tax - Municipalities may levy an additional tax of up to 2% on net revenue. Rates vary by location.
Annual compliance - Annual financial statements and tax returns required. Companies above certain thresholds require statutory audit.
VAT - Standard rate is 27%. Registration required for EU trade or if turnover exceeds HUF 12 million.
Renewal - Click here to renew your company
Optional Add-Ons:
Form your Hungarian Kft with confidence. The lowest corporate tax in the EU, full legal support, and no visit required.