What makes it special?
Stunning architecture, vital folk art, thermal spas and Europe’s most exciting capital after dark are Hungary’s major drawing cards. Hungary’s scenery is more gentle than striking. But you can’t say the same thing about the built environment across the land. Architecturally Hungary is a treasure trove, with everything from Roman ruins and medieval townhouses to baroque churches, neoclassical public buildings and art nouveau bathhouses and schools.
Hungarian food remains the most sophisticated style of cooking in Eastern Europe. Hungary has one of the richest folk traditions still alive in Europe. Traditional music, played on a five-tone diatonic scale on a host of unusual instruments, continues to thrive as well.
Climate – temperate; cold, cloudy, humid winters; warm summers
Population (2019) – 9,772,756
GDP (Per Capita) (2020) – $18,535
Official language – Hungarian
Major religions – Christianity (54.2%), Jewish (0.1%)
Ethnic Groups – Hungarian (98.3%), German (1.8%)
Government – parliamentary republic
Currency – Forint (HUF)
Taxes – Hungarian resident individuals pay tax on worldwide income; foreign resident individuals are taxed only on Hungarian-source income. Employment income is taxable, as is income derived from an individual’s trade or profession. The general personal income tax rate is 15%. Dividend income and bank interest also are subject to a rate of 15%. Capital gains generally are taxed at a rate of 15%.
Residency by Investment:
One can apply for a work permit. The permit indicates the company that entrusts the execution of work to the foreigner and the position or the type of work which the foreigner is to perform. The work is therefore regarded as legal only if the foreigner performs the work identified in the permit. This means that if the foreigner wants to change jobs (i.e. change employer and / or position and / or industry) in which he is employed, he has to obtain a new permit. However, there are some circumstances in which the permit remains valid despite a change in the circumstances for which it has been issued.
Citizenship by Investment:
Option 1 – Full Investment:
The statutory procedure for accepted foreign direct investment in the Investor Residency Bond Program includes the purchase of special Hungarian government bonds in the amount of €300,000 with a maturity of five years. At maturity, the original capital is returned to the investor without accrued interest.
Legislation dictates that the program investment is used to purchase bonds that are issued by a Residency Bond Agent approved by the Hungarian authorities. The agent, in turn, invests that amount in the Hungarian government bonds. This transaction is subject to a Subscription Agreement with the designated enterprise, which must be licensed for the main applicant’s geographic region. The government bonds are assigned for the program only and cannot be used for trading on the public or the secondary market.
Once the security is issued to the investor, the Residence Bond Agent will provide an irrevocable declaration certifying that a Treasury bond with a nominal value of €300,000 and a five-year maturity will be purchased using the funds received from the investor within 45 days of his/her residence permit being issued. In addition to the investment, applicants are also required to cover all processing and visa application fees.
To further guarantee the investment, applicants may wish to obtain a Letter of Bank Guarantee by the issuing bank. Additional fees by the bank may apply.
Option 2 – Financed Investment:
An extremely attractive financing offer is available for a one-time fee of €125,000 to clients who wish to leverage their capital. The loan is initiated and repaid at no further cost to the investor. Standard government fees are applicable in addition to the financial cost.
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