Measurements of the Hungarian government to eliminate economic damages II.

Recent economic measurements of the government have been extended to new business sectors.

The affected sectors are the followings:

  • travel agencies, travel organization and other booking services (business activity codes (TEÁOR and TESZOR) 79)
  • physical well-being services (business activity codes (TEÁOR and TESZOR) 96.04) and
  • inland waterway passenger transport (business activity codes (TEÁOR and TESZOR) 50.30)

This means that no social security contribution is payable in respect of employment of a private person employed, self-employed and corporate entrepreneurs operating in these sectors. There is also no obligation to pay labour contribution. The affected sectors are entitled to discount on rehabilitation contribution: they do not have to pay advances during the year and the contribution amount is also reduced to two-third of the original liability.

Employee contributions are to be performed in such a way that only the 4% in-kind health insurance contribution is payable, but maximum in the amount of HUF 7,710.

The above rules are applicable to tax and contribution obligations of March, April, May and June 2020.

Release of the contributions doesn’t have any effect on the entitlement of the employees for social security and labour benefits and on the amount of these allowances.

Companies should be considered as operating in the given sectors based on the composition and size of sales revenues.

The decreased contribution payment liability therefore concerns companies whose actual main activity is the same as one of the activities above, which means that in the preceding six months most of the revenues, but at least 30% of the total revenue was generated from that activity.

For further information we are at your service: [email protected]

empty seats at aeroplane

Contact:

Rafał Nadolny
MD Poland,
Partner

Daniela Zsigmond
MD Romania,
Partner

Tamás Kovács
MD Hungary,
Partner


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