Tax News Update    Email this document    Print this document  

November 27, 2023
2023-1953

Hungary's immigration bill proposes new categories of work and residence permits

On 15 November 2023, the Hungarian government introduced a new immigration bill in the parliament, which aims to amend the existing regulations for third-country nationals. If approved, the bill will come into force on 1 September 2024. The proposed bill, if approved, will implement the following changes (i) two separate categories of permits will be available for third-country nationals who seek to work in Hungary: one for skilled ("white collar") workers and another for guest ("blue collar") workers; (ii) permits for skilled workers will authorize holders to reside in Hungary for up to three years (compared to two years for holders of combined work and residence permits); (iii) holders of guest worker permits will be subject to a maximum duration of stay, will not be able to sponsor family members and will not be eligible to apply for permanent residence; (iv) a new type of permit, valid for 10 years, will be introduced for individuals who make qualifying investments in Hungary of at least EUR 250,000; and (v) changes will be made to immigration processes to reduce application processing times.

A Tax Alert prepared by EY's People Advisory Services group, and attached below, provides additional details.

———————————————
ATTACHMENT

Full text of Tax Alert

 

The information contained herein is general in nature and is not intended, and should not be construed, as legal, accounting or tax advice or opinion provided by Ernst & Young LLP to the reader. The reader also is cautioned that this material may not be applicable to, or suitable for, the reader's specific circumstances or needs, and may require consideration of non-tax and other tax factors if any action is to be contemplated. The reader should contact his or her Ernst & Young LLP or other tax professional prior to taking any action based upon this information. Ernst & Young LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect the information contained herein.

 

Copyright © 1996 – 2024, Ernst & Young LLP

 

All rights reserved. No part of this document may be reproduced, retransmitted or otherwise redistributed in any form or by any means, electronic or mechanical, including by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP.

 

EY US Tax News Update Master Agreement | EY Privacy Statement