The Hungarian government is introducing a tax on assets worth more than 1 billion forints starting in 2027

Hungary’s government will introduce, from January 1, 2027, a tax on individual fortunes exceeding 1 billion forints, as part of a new tax package announced on Tuesday by Prime Minister Peter Magyar. The measure aims to change the tax regime for very wealthy individuals and expand incentives for small entrepreneurs.

Fortunes between 1 billion and 100 billion forints will be taxed at 1% on the portion exceeding the threshold, while those above 100 billion forints will be taxed at 1.5%. The tax base will include property, investments, company holdings, and assets held abroad or through wealth-management structures. Loans may be deducted, while taxes already paid on property will be subtracted from the amount due.

The first tax return must be filed by August 31, 2027, and will be based on the wealth held at the end of 2026.

The package also provides for an expansion of the KATA regime to secondary-occupation entrepreneurs, pensioners, and students. They will be allowed to invoice companies, but the monthly tax will rise to 100,000 forints for full-time activity and 50,000 forints for those who also have another job. From 2027, professional athletes will lose the preferential 500 million-forint ceiling under the EKHO regime and will be subject to the general limit of 60 million forints.