The press focused on perspective governmental proposals on changing rental taxes, which was commented on and denied by the Hungarian Ministry of State for Economic Regulation. The Government only wants transparency on the rental property market in Hungary.
The Ministry of State for Economic Regulation denies the changes
Ministerial commissioner for commercial policy, Kristóf Szatmáry told a Hungarian daily (Magyar Idők) that under the proposal, which is expected to be submitted to the Hungarian Parliament by the end of April, Hungarians would be eligible to register up to three rental properties apiece with the National Tax and Customs Authority (NAV). Szatmáry said that 1,500 HUF per sq m would be the amount of the tax in case of short term as well as long term home rentals. This plan, however, was refuted later by the Ministry of State for Economic Regulation in an official statement.
According to the statement: "referring to the alleged ideas about taxes on home rentals that have appeared in the press today, the Ministry of State for Economic Regulation remonstrates that the government conferred about the budget of reduction of taxes and providing new homes yesterday. There was no other proposition on the agenda, which had been mentioned in the press, the cabinet did not support such a proposal.”
Bringing the underground economy on board can affect the Airbnb-, and home rental market
Landlords should pay 1,500 HUF per square meter per year. The purpose, the time span and the frequency of the rental of the property will not be a consideration when estimating the tax rate. The flat rate taxation would replace taxes of this kind paid for local governments. Anyhow, the Ministry has rejected this idea, although in case of short term rentals rental tax determined as a fixed amount per sqm has already been mentioned as a possibility.
Irrespective of the occupancy rate as well as of the rental charges, after a 50 sqm flat landlords should pay 75,000 HUF yearly – summed up the journal. The Parliament could negotiate on the new law as early as in April. The aim of the government is to bring the underground economy on board and could also influence the way Uber and very similar Airbnb market are used to operating.
(Source: http://index.hu/gazdasag/2016/04/13/uj_ado_johet_a_kiado_lakasokra/; http://www.portfolio.hu/ingatlan/lakas/megsem_valtoznak_a_lakaskiadas_szabalyai.4.230229.html)
