Benefits of offshore company registration in Hungary
Company registration in Hungary.
Offshore company registration in Hungary can bring lots of benefits to a business owner in development and success of his organisation. Hungary is conveniently located at the heart of Europe, between the hills and mountains of the Alps and the Carpathians, the Danube and its tributaries Drava.
Hungary has been a member of European Union for nine years is of strategic importance for the whole of Europe. It is considered to be a very attractive place to invest capital for companies and individuals as it offers not only a fairly developed banking sector, but also a very moderate tax rates. Hungary has signed agreements on avoidance of double taxation with more than 70 countries.
Its legislation is on the way closer to the Western model. Activities of firms in Hungary are regulated by the Companies Act 1988. However, even though Hungary is becoming more in line with EU regulation and the attention is mainly on onshore activities, the offshore structures are still there. Furthermore, the threat of transparency in banking operations is still low for two reasons: first, information on the beneficial ownership in Hungary is not public and the exchange of bank account information automatic, but needs a specific request; secondly, there is an ability to use nominal service as for company’s directors and shareholders.
Forms of offshore company registration in Hungary are as following:
- Limited Partnership
- Partnership with unlimited liability
- Limited Liability Company
- Public company with limited liability
In the event that a director of the company – a non-resident of Hungary, the company is able to pay no monthly salary to the director and, accordingly, there is no need of local tax his salary.Another advantage of offshore company registration in Hungary is that the founder of the company can receive an annual visa first, and after he can obtain a residence permit.
Overall, offshore company registration in Hungary has following benefits:
- Geographical location
- Clear and easy to understand corporate law
- Reliable and convenient banking system
- Developed Infrastructure
- Benefits taxes and financial transactions as of a classic offshore
- Absence of exchange controls
- Ability to use nominee services
- Ability to obtain a residence permit for employees
Offshore company registration in Hungary provides all the necessary conditions for foreign investors and multinational companies for a successful and profitable business.