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Hungary: An Emerging Jurisdiction for Company Establishment
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Hungary is a landlocked country located in Central Europe, with a population of over 9.7 million people. The country is known for its rich culture, beautiful architecture, and vibrant economy. Hungary is also an attractive location for foreign investors looking to establish a company, due to its favorable business climate and competitive tax regime.
Tax Rates in Hungary
Hungary has a competitive tax regime, with a flat corporate income tax rate of 9%, which is one of the lowest in the European Union. In addition, Hungary has a network of double tax treaties with over 80 countries, which can reduce the tax burden for companies doing business in multiple countries.
Banks for Account Opening
Hungary has a well-developed banking sector, with several local and international banks operating in the country. Some of the major banks in Hungary include OTP Bank, Erste Bank, and UniCredit Bank. To open a corporate bank account in Hungary, companies must provide the necessary documentation, such as company registration documents, proof of identity of company directors and shareholders, and evidence of the company's business activities.
Other Advantages of Hungary as a Jurisdiction for Company Establishment
Apart from the favorable tax regime and availability of banking services, there are other advantages to establishing a company in Hungary. The country has a highly skilled and educated workforce, with a strong focus on the manufacturing, information technology, and services sectors. Hungary also has a streamlined process for company incorporation, with a turnaround time of approximately 2 weeks.
Hungary is strategically located in the heart of Europe, providing businesses with easy access to markets in the region. The country has a stable political environment and a well-developed legal system based on civil law. Hungary is also a member of several international organizations, including the European Union, the United Nations, and the World Trade Organization.
In conclusion, Hungary is an emerging jurisdiction for company establishment that offers several advantages for businesses looking to expand into Central Europe and beyond. The country has a competitive tax regime, a well-developed banking sector, and a highly skilled and educated workforce. These factors, combined with the strategic location, streamlined company incorporation process, and stable political and legal environment, make Hungary an ideal destination for entrepreneurs and investors looking to establish a company in Central Europe.
