In October 2026 the Hungarian government published a draft bill introducing a net wealth tax, set to enter into force on 1 January 2027, on net wealth exceeding HUF 1 billion (approximately EUR 2.74 million). The first returns and payments are due on 31 August 2027, but the reference date for the first assessment is 31 December 2026: company owners have a narrow window to assess their exposure and prepare their corporate structures.
Taxable persons and rates. Hungarian tax residents are taxed on their worldwide net assets, non-residents only on Hungarian real estate and directly associated property rights. Trusts and private foundations are also taxpayers: transferring assets into them provides no exemption, while double taxation treaties may create planning opportunities for foreign assets. Net wealth, meaning total assets on 31 December 2026 minus documented liabilities, is taxed at 1.0% above the threshold and 1.5% above HUF 100 billion.
Unlisted shareholdings. The scope is broad: real estate, valuable movable property, securities, cash, crypto-assets, life insurance savings, corporate participations. For entrepreneurs and family owners, the key challenge is valuing unlisted equity: the draft rejects simple book equity in favour of a mandatory weighted formula, two-thirds earnings multiple and one-third book equity. For holding companies where participations represent 90% or more of total assets, the market value of the underlying portfolio applies.
Hidden reserves and anti-avoidance. For companies with equity over HUF 500 million, the positive difference between fair market value and book value of real estate, participations and securities increases the tax base, after deferred tax or a flat 15% deduction: a property booked at HUF 1 billion and worth 3 adds HUF 1.7 billion to the base. General anti-avoidance rules prohibit transactions designed to reduce the base, and the tax authority (NAV) will be able to audit back to the date the proposal was made public. Expert valuations, minority discounts and loss-making or early-stage companies remain under consultation.
What to do now. Estimate your net asset position as of 31 December 2026; take a full inventory of domestic and international assets, including foreign bank accounts and real estate; review your group structure to identify holdings at or above the 90% threshold; run preliminary valuations of your key unlisted operating companies under the proposed formula.
