Hungary: Changes to the local business tax

For the business years starting in 2010, taxpayers will have to submit their local business tax returns and make the payments to the state Tax Authority. However, since the competent local tax authority is responsible for matters related to local business tax for 2009, in accordance with the relevant transitional provisions, the local business tax return for 2009 must be filed with this authority.
Another transitional provision is that the first local business tax advance for 2010 will have to be paid to the competent local tax authority. Taxpayers using a non-calendar business year must pay all their tax obligations for the business year starting in 2009 to the competent local tax authority. Regarding the tax periods before 1 January 2010, the right to establish tax will cease on 31 December 2011, and thus there will be only two years to carry out audits and self-revisions.
The procedural rules on taxpayers with more than one permanent establishment will also change. From next year, they will have to file a single tax return, including local business tax, divided into the single permanent establishments. Taxpayers will have to make payments to the account for local business tax held by the state Tax Authority.
Reconciliation of taxpayers’ tax accounts at the end of 2009 will be of special importance, because the local business tax balance recorded at the competent local tax authorities as of 1 January 2010 will be the opening balance for this tax type at the state Tax Authority. Any further reconciliation at a later stage might be difficult as the local business tax functions of the local municipalities will gradually be terminated.
Although the task of auditing local business tax will also be transferred to the state Tax Authority, the competent local tax authorities will continue to conduct on-site audits for the purposes of data collection at taxpayers pursuing business activities on a temporary (occasional) basis and will provide the state Tax Authority with the data from such audits by the last day of each month.

Share

Tags: , , ,

Lascia un Commento

L'indirizzo email non verrĂ  pubblicato. I campi obbligatori sono contrassegnati *

*

È possibile utilizzare questi tag ed attributi XHTML: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>