{"id":6156,"date":"2025-12-02T09:52:00","date_gmt":"2025-12-02T08:52:00","guid":{"rendered":"https:\/\/mgi-bpo.hu\/?post_type=szakmai-hirek&#038;p=6156"},"modified":"2025-12-02T10:10:00","modified_gmt":"2025-12-02T09:10:00","slug":"inflationary-pressure-in-the-tax-system-in-2026-which-taxes-are-increasing-and-which-thresholds-are-changing","status":"publish","type":"szakmai-hirek","link":"https:\/\/mgi-bpo.hu\/en\/news\/inflationary-pressure-in-the-tax-system-in-2026-which-taxes-are-increasing-and-which-thresholds-are-changing\/","title":{"rendered":"Inflationary Pressure in the Tax System in 2026: Which Taxes Are Increasing and Which Thresholds Are Changing?"},"content":{"rendered":"<p data-start=\"171\" data-end=\"546\">The Hungarian Parliament recently adopted the tax packages for the year 2026, bringing several important changes to the lives of businesses in Hungary. According to the legislators, the amendments aim to address challenges caused by inflation while reducing administrative burdens, particularly for larger SMEs. Key provisio<span style=\"font-size: 12pt;\">ns are included in Acts LXXXIII and LXXXIV of 2025.<\/span><\/p>\n<p data-start=\"548\" data-end=\"685\"><span style=\"font-size: 12pt;\">Businesses should prepare in advance. Some changes are inflation-indexed, while other taxes and fees tied to fixed amounts will increase.<\/span><\/p>\n<h2 data-start=\"548\" data-end=\"685\"><span style=\"font-size: 18pt;\"><strong>I. Increasing Taxes and Fees: \u201cCold Progression\u201d and Direct Burdens<\/strong><\/span><\/h2>\n<p data-start=\"764\" data-end=\"1002\"><span style=\"font-size: 12pt;\">Inflation does not only appear on store shelves, but also in certain tax and fee categories set by law. These changes result in direct cost increases for companies and indirectly raise burdens through the phenomenon of \u201ccold progression.\u201d<\/span><\/p>\n<h3 data-start=\"1004\" data-end=\"1029\"><span style=\"font-size: 14pt;\"><strong>A. Excise Tax in 2026<\/strong><\/span><\/h3>\n<p data-start=\"1031\" data-end=\"1085\"><span style=\"font-size: 12pt;\">In the case of excise taxes, the situation is twofold:<\/span><\/p>\n<ul data-start=\"1087\" data-end=\"1565\">\n<li data-start=\"1087\" data-end=\"1275\">\n<p data-start=\"1089\" data-end=\"1275\"><span style=\"font-size: 12pt;\"><strong data-start=\"1089\" data-end=\"1126\">Fuels (petrol, diesel, kerosene):<\/strong> The inflation-adjusted increase (valorisation) of excise tax on fuels has been postponed by six months. The new deadline: the second half of 2026.<\/span><\/p>\n<\/li>\n<li data-start=\"1276\" data-end=\"1565\">\n<p data-start=\"1278\" data-end=\"1565\"><span style=\"font-size: 12pt;\"><strong data-start=\"1278\" data-end=\"1311\">Tobacco products and alcohol:<\/strong> In contrast, excise taxes on tobacco products are expected to rise. For alcoholic beverages, the rules are refined: from 1 January 2026, small-scale sparkling wine producers will benefit from a reduced 50% excise tax rate, supporting domestic producers.<\/span><\/p>\n<\/li>\n<\/ul>\n<h3 data-start=\"1567\" data-end=\"1616\"><span style=\"font-size: 14pt;\"><strong>B. Taxes and Duties on Motor Vehicles in 2026<\/strong><\/span><\/h3>\n<p data-start=\"1618\" data-end=\"1720\"><span style=\"font-size: 12pt;\">Taxes related to motor vehicles will also rise due to <a href=\"https:\/\/nav.gov.hu\/ugyfeliranytu\/adokulcsok_jarulekmertekek\/valorizalt-adomertekek\" target=\"_blank\" rel=\"noopener\">inflation-based adjustments<\/a> effective from 2026:<\/span><\/p>\n<ul data-start=\"1722\" data-end=\"2101\">\n<li data-start=\"1722\" data-end=\"1896\">\n<p data-start=\"1724\" data-end=\"1896\"><span style=\"font-size: 12pt;\"><strong data-start=\"1724\" data-end=\"1744\">Company car tax:<\/strong> The annual company car tax rates are set by government decree, aligned with economic conditions. For 2026, the rates will increase to offset inflation.<\/span><\/p>\n<\/li>\n<li data-start=\"1897\" data-end=\"2101\">\n<p data-start=\"1899\" data-end=\"2101\"><span style=\"font-size: 12pt;\"><strong data-start=\"1899\" data-end=\"1938\">Transfer duty and registration tax:<\/strong> These fees will also follow an inflation-indexing mechanism from 1 January 2026, increasing the initial costs of corporate fleet expansions and vehicle purchases.<\/span><\/p>\n<\/li>\n<\/ul>\n<h3 data-start=\"2103\" data-end=\"2158\"><span style=\"font-size: 14pt;\"><strong>C. The Indirect Impact of Inflation on the Tax Base<\/strong><\/span><\/h3>\n<p data-start=\"2160\" data-end=\"2517\"><span style=\"font-size: 12pt;\">An important economic fact is that inflation raises tax burdens even when nominal tax rates remain unchanged. Higher revenues generate higher VAT amounts. Even if a company\u2019s real profit does not change, higher nominal profit results in higher corporate income tax (CIT). This is the so-called \u201ccold progression,\u201d which increases companies\u2019 real tax burden.<\/span><\/p>\n<h2 data-start=\"2160\" data-end=\"2517\"><span style=\"font-size: 18pt;\"><strong>II. Changing Thresholds and Labour Costs: Impact on Larger SMEs<\/strong><\/span><\/h2>\n<p data-start=\"2592\" data-end=\"2809\"><span style=\"font-size: 12pt;\">Lawmakers recognised that inflation had eroded the real value of earlier threshold limits. Therefore, several key thresholds were increased to ensure that favourable tax regimes remain accessible to larger-scale SMEs.<\/span><\/p>\n<h3 data-start=\"2811\" data-end=\"2869\"><span style=\"font-size: 14pt;\"><strong>A. KIVA (Small Business Tax) Entry and Exit Thresholds<\/strong><\/span><\/h3>\n<p data-start=\"2871\" data-end=\"3025\"><span style=\"font-size: 12pt;\">KIVA may become more popular among larger SMEs, as both entry and exit thresholds have doubled for new entrants from 1 December 2025 (Act LXXXIV of 2025):<\/span><\/p>\n<ul data-start=\"3027\" data-end=\"3254\">\n<li data-start=\"3027\" data-end=\"3123\">\n<p data-start=\"3029\" data-end=\"3123\"><span style=\"font-size: 12pt;\"><strong data-start=\"3029\" data-end=\"3050\">Entry thresholds:<\/strong> Max. 100 employees and max. HUF 6 billion revenue\/balance sheet total.<\/span><\/p>\n<\/li>\n<li data-start=\"3124\" data-end=\"3254\">\n<p data-start=\"3126\" data-end=\"3254\"><span style=\"font-size: 12pt;\"><strong data-start=\"3126\" data-end=\"3146\">Exit thresholds:<\/strong> Revenue threshold increased from HUF 6 billion to HUF 12 billion; employee limit increased from 100 to 200.<\/span><\/p>\n<\/li>\n<\/ul>\n<p><a href=\"https:\/\/mgi-bpo.hu\/en\/news\/is-kiva-at-risk-what-to-watch-out-for-at-year-end\/\" target=\"_blank\" rel=\"noopener\">You can find more information about the KIVA amendments in our article published on November 4, 2025.<\/a><\/p>\n<h3 data-start=\"3256\" data-end=\"3292\"><span style=\"font-size: 14pt;\"><strong>B. CIT Advance Payment Frequency<\/strong><\/span><\/h3>\n<p data-start=\"3294\" data-end=\"3469\"><span style=\"font-size: 12pt;\">For larger companies paying corporate income tax, there is also relief: the threshold for determining advance payment frequency increases from HUF 5 million to HUF 20 million.<\/span><\/p>\n<h3 data-start=\"3471\" data-end=\"3526\"><span style=\"font-size: 14pt;\"><strong>C. Minimum Wage and Guaranteed Minimum Wage in 2026<\/strong><\/span><\/h3>\n<p data-start=\"3528\" data-end=\"3716\"><span style=\"font-size: 12pt;\">Wage levels are a cornerstone of the economy. The minimum wage and guaranteed minimum wage for 2026 have been approved, directly affecting labour costs and related taxes and contributions.<\/span><\/p>\n<ul data-start=\"3718\" data-end=\"3890\">\n<li data-start=\"3718\" data-end=\"3807\">\n<p data-start=\"3720\" data-end=\"3807\"><span style=\"font-size: 12pt;\"><strong data-start=\"3720\" data-end=\"3737\">Minimum wage:<\/strong> Increases to HUF 328,600 gross from 1 January 2026 (an 11% increase).<\/span><\/p>\n<\/li>\n<li data-start=\"3808\" data-end=\"3890\">\n<p data-start=\"3810\" data-end=\"3890\"><span style=\"font-size: 12pt;\"><strong data-start=\"3810\" data-end=\"3838\">Guaranteed minimum wage:<\/strong> Around HUF 373,200, representing approx. a 7% rise.<\/span><\/p>\n<\/li>\n<\/ul>\n<p data-start=\"3892\" data-end=\"4124\"><span style=\"font-size: 12pt;\">Higher labour costs affect not only gross wages but also employer-paid social contribution tax (szocho), KIVA, and other contributions, all calculated on the increased wage base\u2014raising tax burdens even without changes in tax rates.<\/span><\/p>\n<p data-start=\"4126\" data-end=\"4380\"><span style=\"font-size: 12pt;\">Act LXXXIV of 2025 reduces the tax base for social contribution tax on personnel-related payments from 112.5% of the minimum wage to 100%. This amendment slightly mitigates \u201chidden\u201d tax increases and helps smaller companies optimise wage-related burdens.<\/span><\/p>\n<h2 data-start=\"4387\" data-end=\"4443\"><span style=\"font-size: 18pt;\"><strong>III. Inflation in 2025: Forecast and Impact on Prices<\/strong><\/span><\/h2>\n<p data-start=\"4445\" data-end=\"4537\"><span style=\"font-size: 12pt;\">Recent economic forecasts provide a clearer picture of inflation outlooks for 2025 and 2026.<\/span><\/p>\n<ul data-start=\"4539\" data-end=\"4678\">\n<li data-start=\"4539\" data-end=\"4597\">\n<p data-start=\"4541\" data-end=\"4597\"><span style=\"font-size: 12pt;\">For 2025, some analysts expect inflation to exceed 4%.<\/span><\/p>\n<\/li>\n<li data-start=\"4598\" data-end=\"4678\">\n<p data-start=\"4600\" data-end=\"4678\"><span style=\"font-size: 12pt;\">According to a recent Erste Bank forecast, inflation may fall to 3.8% in 2026.<\/span><\/p>\n<\/li>\n<\/ul>\n<p data-start=\"4680\" data-end=\"4980\"><span style=\"font-size: 12pt;\">Although this inflation level may fall within the central bank\u2019s target range, it will continue to influence the economic environment. Due to rising excise taxes (tobacco, alcohol), higher labour costs, and \u201ccold progression,\u201d prices in certain sectors and for specific products may continue to rise.<\/span><\/p>\n<p data-start=\"4982\" data-end=\"5161\"><span style=\"font-size: 12pt;\">Official legal texts are available in the <a href=\"https:\/\/magyarkozlony.hu\/\" target=\"_blank\" rel=\"noopener\">Hungarian Gazette<\/a>, and the tax authority (NAV) is expected to soon publish updated <a href=\"https:\/\/nav.gov.hu\/ugyfeliranytu\/nezzen-utana\/inf_fuz\" target=\"_blank\" rel=\"noopener\">information booklets<\/a> with the new valorised tax rates.<\/span><\/p>\n<p data-start=\"5163\" data-end=\"5370\"><span style=\"font-size: 12pt;\">This article is for informational purposes only and does not constitute professional advice. For serious business decisions, please consult an expert and do not rely solely on the information presented here.<\/span><\/p>\n","protected":false},"featured_media":6157,"template":"","tags":[554],"evszam":[1031],"szakmai_cimke":[1002,1229,1230,1228,1227,862,1231,863,1215,1233,1232],"class_list":["post-6156","szakmai-hirek","type-szakmai-hirek","status-publish","has-post-thumbnail","hentry","tag-highlighted","evszam-2026-en","szakmai_cimke-corporatetax","szakmai_cimke-economicupdate","szakmai_cimke-exciseduty","szakmai_cimke-hungaryeconomy","szakmai_cimke-inflation","szakmai_cimke-kiva-en","szakmai_cimke-minimumwage","szakmai_cimke-tao-en","szakmai_cimke-taxchanges","szakmai_cimke-taxreform","szakmai_cimke-vehicletax"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Inflationary Pressure in the Tax System in 2026: Which Taxes Are Increasing and Which Thresholds Are Changing? - MGI-BPO<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/mgi-bpo.hu\/en\/news\/inflationary-pressure-in-the-tax-system-in-2026-which-taxes-are-increasing-and-which-thresholds-are-changing\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Inflationary Pressure in the Tax System in 2026: Which Taxes Are Increasing and Which Thresholds Are Changing? - MGI-BPO\" \/>\n<meta property=\"og:description\" content=\"The Hungarian Parliament recently adopted the tax packages for the year 2026, bringing several important changes to the lives of businesses in Hungary. 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