Hungary Gazettes Decree on Extra Profit Tax Act for Credit Institutions, Financial Enterprises Due to War

The Hungarian Official Gazette Nov. 13 published Government Decree No. 358/2025, on taxation for credit institutions and financial enterprises under the Extra Profit Tax Act, due to the ongoing Russia-Ukraine conflict. The decree includes measures: 1) setting the special tax rates, for tax year 2026, at 10 percent of the tax base not exceeding 20 billion forints (US$60.4 million), and 30 percent of the tax base exceeding 20 billion forints; and 2) setting the reduction limit at 10 percent of the nominal value increase in government securities portfolios, capped at 30 percent of the tax due. The decree generally enters ...