'%3e%3cpath%20fill='%23eee'%20d='m0%20167%20253.8-19.3L512%20167v178l-254.9%2032.3L0%20345z'/%3e%3cpath%20fill='%23d80027'%20d='M0%200h512v167H0z'/%3e%3cpath%20fill='%236da544'%20d='M0%20345h512v167H0z'/%3e%3c/g%3e%3c/svg%3e)
Dividend tax in Hungary 2026
Dividends are withheld at the flat 15%, but the 13% social tax (szocho) also applies — capped, so it stops once your contribution-bearing income for the year reaches HUF 7,747,200 in 2026.
The cap flips the usual logic: modest investors pay up to 28% all-in, while high earners whose salary already fills the cap pay just 15% on dividends.
At a glance
- top rate
- 28% combined below the cap; 15% above it
- entry band
- 15% + capped 13% from the first forint
- tax year basis
- Calendar year; withheld at source by Hungarian payers
- filing deadline
- 20 May via the annual return for foreign dividends
- residency basis
- Residents: worldwide dividends at the same rates
- regime flag
- Social-tax cap: HUF 7,747,200 of income (24x the minimum wage) in 2026
Rates
How dividends and interest are taxed (2026)
| Rate | Base | Applies to |
|---|---|---|
| 15% + 13% (capped) | Gross dividend | Hungarian and foreign dividends — social tax stops at the HUF 7,747,200 income cap |
| 15% + 13% (uncapped) | Gross interest | Interest on deposits and securities issued from 1 July 2023 — 28% all-in |
| 15% | Gross interest | Instruments issued before 1 July 2023 and real estate fund income — grandfathered, no social tax |
| 0% / 10% | Interest and gains | Long-term investment accounts: tax-free after 5 years, 10% after 3 |
Thresholds & allowances
- Social-tax capHUF 1,007,136 (2026)
Maximum annual social tax on capped income — 13% of 24 times the HUF 322,800 minimum wage
Residency
Residency trigger
Hungarian payers withhold both layers at source; foreign dividends are self-assessed at the same 15% (plus capped social tax), with treaty credits for foreign withholding.
Non-resident treatment
Dividends to non-residents carry the 15% withholding unless a treaty says otherwise; no social tax applies to non-residents outside the Hungarian system.
Notes
- Dividends from tax-haven companies (no treaty, corporate tax at 9% or below) lose the flat treatment and land in aggregate income instead.
- Employee stock ownership plan distributions qualify as dividend income — a favoured route for variable pay.
- Trust profit distributions bear the same 15% withholding; capital distributions to the settlor's close family are tax-free.
- Interest on real estate fund units keeps its social-tax exemption even after the 2023 change.
FAQ
How are dividends taxed in Hungary?
15% income tax plus a 13% social tax that is capped — the social part stops once your year's contribution-bearing income reaches HUF 7,747,200 (2026), so well-paid earners effectively pay only 15%.
What about bank interest?
15% plus an uncapped 13% social tax — 28% in total — for deposits and securities issued from July 2023; older instruments and real estate funds stay at 15%.
Figures: tax year 2026, compiled from public sources. Not tax advice.