2026: Hungarian personal income tax is charged on income
This section concerns ordinary long-term residential letting by a private individual taxed under Hungarian rules outside a sole-trader business. Do not automatically apply it to companies or tourist accommodation. NAV’s 2026 guidance states a 15% personal income tax rate on taxable income. Income can be calculated using a 10% expense allowance or itemised allowable costs; the 10% method does not permit additional individual expense deductions.
Example using the 10% expense allowance
Illustrative calculation without tax reliefs or other reductions: 90% of HUF 200,000 in taxable receipts is HUF 180,000 in income; 15% of that is HUF 27,000 in personal income tax. The example contains no separate utilities, common charges or deposit and does not calculate your personal liability. Itemised accounting instead starts from documented costs eligible under the rules.
Who pays the tax advance?
With a private-individual tenant, the landlord calculates and pays quarterly tax advances by the 12th of the month following the quarter. If the tenant is a Hungarian tax withholding payer, the payer generally calculates and withholds the advance; retain declarations and certificates. Check NAV’s current tax calendar for deadline shifts due to non-working days. Reconcile the annual return draft with actual receipts and advances.
Identify the taxpayer and receipts
Confirm whether the landlord is an individual, business or another organisation. An agent does not change the owner into a corporate taxpayer. Separate rent due, actual receipts and deposits.
- Actual receipts and receipt dates.
- Landlord and property details.
- Ownership shares and relevant periods.
- Cost documents, advances and corrections.
Review costs and utility reimbursements
The cost method, eligibility of expenses and depreciation require checks for the particular situation. Measured-consumption reimbursements and fixed utility charges can have different treatment. Keep links between invoices, consumption, tenant charges and receipts.
A worksheet is not a filed return
Reports can organise recorded inputs and expose missing information. Check the chosen year, evidence and calculation assumptions. A forecast does not prove a payment. Consult the current Hungarian NAV guidance and seek individual advice for corporate, cross-border or unusual arrangements.