How dividend tax works in Hungary
Resident individuals pay 15% on dividends plus 13% social to HUF 7,747,200 of yearly base, netting 28% combined below the cap and 15% above. EEA-listed shares skip the social lane.
Non-residents without treaties face 15% domestic withholding. Treaties cut by corridor, and EU parents with 10% holdings receive dividends free.
The US treaty termination since 2024 leaves American holders at full domestic rates. About 80 remaining treaties cover most other corridors.
Tax rates at a glance
- Base rate
- 15%Flat
- Social rate
- 13%
- Social cap
- HUF 7,747,200
- Outbound rate
- 15%
- EU parent rate
- 0%
Who benefits most
These profiles tend to benefit most when the rules match their real residence, payroll and business setup.
InvestorsHolding companiesFamily officesHigh earnersCross-border shareholders
Watch out for
- The cap is yearly and shared. Dividends plus ordinary-lane gains pool toward one HUF 7.75 million ceiling per person.
- EEA-listed dividends skip social entirely. Exchange choice changes the rate, not just the venue.
- US holders lost treaty relief in 2024. American portfolios face full 15% with no agreement trim.
- Long-term accounts shelter dividends too. Five-year TBSZ holdings distribute at zero, beating both lanes.
Frequently asked questions
Does Hungary tax dividends?
Yes, at 15% plus 13% social to a yearly cap for residents, and 15% withholding for non-treaty outbound holders.
What withholding applies to dividends leaving Hungary?
Domestic 15%, cut by treaties by corridor and to zero for EU parents — except Americans, whose treaty ended in 2024.
Are EEA dividends cheaper?
Yes. EEA-listed share dividends skip the 13% social lane entirely, paying 15% only.