Subject of company car tax
According to the main rule, company car tax is payable on passenger cars registered by the Hungarian authority (having a Hungarian number plate) that is not in the ownership of a private person. Company car tax is only payable on passenger cars in the ownership of private persons or foreign number plate passenger cars in the ownership of non-private persons not listed in the authority register if costs, expenditures are accounted for in respect of such car.
By default the tax is payable by the owner listed in the vehicle register but, e.g. in the case of passenger cars in financial leasing, occupational leasing listed in the authority register, the tax will be payable by the lessee.
No company car tax payment obligation applies on passenger cars of:
- flat rate taxpayers, private entrepreneurs paying tax under the simplified entrepreneurial tax (EVA) or small business tax (KATA) regime and
- private persons applying itemized flat rate taxation with regard to commercial accommodation activity.
Exemption from company car tax
Among others, the following passenger cars are exempt from tax:
- cars equipped with a distinguishing signal device;
- cars operated by church legal persons primarily to carry out religious activities or other activities directly related thereto;
- cars purchased by persons or organizations engaged in the business of passenger car trading only for the purpose of resale;
- cars used exclusively for the transportation of deceased persons.
Rate of company car tax
The monthly rate of the tax is determined per passenger car based on the car's engine power in kW and its environmental classification as follows:
|Vehicle engine power (kW)||For environmental categories "0" to "4"||For environmental categories "6" to "10"||For environmental categories "5", "14" and "15"|
|0-50||HUF 16,500||HUF 8,800||HUF 7,700|
|51-90||HUF 22,000||HUF 11,000||HUF 8,800|
|91-120||HUF 33,000||HUF 22,000||HUF 11,000|
|Above 120||HUF 44,000||HUF 33,000||HUF 22,000|