Hungary offers favorable taxation, advanced infrastructure, and low costs. If you are operating an IT company in Serbia and are looking for better conditions, set up a company in Hungary and enjoy all the benefits it can offer.
Hungary has the lowest corporate tax in the EU at just 9%. Moreover, the base for the corporate tax can be reduced by various spendings. Dividend tax is just 15%. VAT is 27%, but it is reclaimable for most corporate purchases.
Compared to Western European cities, cost of living in Budapest is quite low. This includes real estate, utilities, and supplies – all of which would be relevant for you when setting up an office in Budapest. At the same time, the low living costs make salaries expected by professionals also lower than in Western Europe.
Hungary is in the heart of Europe, with excellent international connections. What might be more important for an IT company, the mobile and internet coverage is excellent almost all over the country, and you can often choose from 2-3 providers to get the service that suits your company best.
In Hungary, several renowned universities and colleges offer top-notch courses related to IT and telecommunication. Technical specialisations are quite popular among local as well as international students, so there is always a good hail of professionals speaking English and even other European languages.
If you prefer bringing along your trusted employees, they can apply for a work permit and receive it just within 70 days. They can bring along their family members too, since the spouse and underage children can apply for residency through family unification.
As a company with a seat in the EU, your Hungarian company will be able to sell its products to companies in other EU countries without charging VAT, and vice versa, purchase products or services from companies in other EU countries without paying VAT. (Read more about zero VAT invoices here.) If you do trade in Hungary, VAT is reclaimable in many cases.
As the CEO of an EU company, you will be eligible for Hungarian residency (together with your family members). As a resident, you will be able to visit any Schengen countries without a visa, even after the expiration of the ETIAS agreement with the EU.
Company setup in Hungary can be done in just 4-5 business days, either in person or with a power of attorney. Your company immediately gets an EU VAT number as well, which means you can start trading with other EU countries right away, as soon as your corporate bank account is opened.
If you want to take advantage of all the benefits of moving your IT company from Serbia to Hungary, just get in touch, and we are here to help. Learn more about our solutions for company formation here, or simply fill out the form below, and an expert colleague will get back to you within 1 business way. We can hardly wait to start working together with you!
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