Hungary upstream fiscal summary Report

Country Report 30 October 2023

This report is currently unavailable

Share link

First name
Last name
Job Title
Company
Email
Telephone

Country

Message

Consent

Please keep me informed about Wood Mackenzie products, services and events.

Submit Category

For details on how your data is used and stored, see our Privacy Notice.

- FAQs about online orders
- Find out more about subscriptions

*Please note that this report only includes an Excel data file if this is indicated in "What's included" below

Report summary

Hungary’s concession-based fiscal regime is relatively simple. The main elements include a royalty (extra profit tax), corporate income tax, and an additional profits tax (Energy Suppliers tax). Royalty is a biddable term but the government has set a minimum rate. The extra profit tax is levied via increased royalty rates for 2022 and 2023. Standard royalty rates apply from 2024. The energy suppliers tax has the same tax base as corporate income tax resulting in a marginal tax rate of 40%. Both are ring-fenced at the country level. There are also local business and indirect taxes. There is no state participation.

Basis
Licence terms
- Duration
- Relinquishment
Government equity participation
Fiscal terms
- Bonuses, rentals and fees
- Indirect taxes
- Royalty
- Ring fencing
- Base
- Rate
- Payment schedule
- Additional petroleum taxes
- 23 more item(s)...
Recent history of fiscal changes
Stability provisions
Split of the barrel and share of profit
Effective royalty rate and maximum government share
Progressivity
Fiscal deterrence