Hungary Rental Income Guide

the Hungary rental income taxation for the individual landlords for 2026. The guide covers: the flat 15% SZJA on the rental income — the "lakásbérleti díj" (the "rental income") is taxed at the flat personal income tax rate of 15%; the 10% deemed cost deduction — the "tételes költségelszámolás" (the "itemised cost accounting") alternative to the 10% deemed cost; the no szocho on the rental income for the individuals below the threshold — the "egészségügyi hozzájárulás" (the "health contribution") does NOT apply to the rental income received by the individuals; the simplified tax regime — the "tételes átalányadózás" (the "flat-rate taxation") for the small-scale landlords.

Flat 15% SZJA on Rental Income

Flat rate — 15%: The rental income received by the individual landlord (the "magánszemély bérbeadó" — the "individual landlord") is subject to the personal income tax (the "SZJA" — the "személyi jövedelemadó") at the flat rate of 15%. The rental income is classified under the "külön adózó jövedelmek" (the "separately taxed incomes") — the income is taxed separately from the other categories of the income (the "employment income", the "business income").
Bérleti díj (rental income): The taxable rental income includes the "lakbér" (the "rent") received under the "bérleti szerződés" (the "lease agreement") — the monthly rent, the "közös költség" (the "common charges" if paid by the tenant to the landlord), and the "rezsi" (the "utilities" if the tenant pays the lump sum to the landlord and the landlord pays the utility companies). The "kaucíó" (the "security deposit") is NOT taxable if it is refundable.
Reporting on the SZJA return: The rental income must be reported on the annual SZJA return (the "SZJA bevallás") under the "bérbeadásból származó jövedelem" (the "income from the letting") category. The NAV provides the pre-populated "tervezet" (the "draft return") with the rental income data if the landlord registered the lease agreement with the tax authority.

10% Deemed Cost Deduction

Standard method — 10% deemed cost: The individual landlord may deduct 10% of the gross rental income as the "költségátalány" (the "deemed cost" or the "flat-rate expense deduction") without the need to substantiate the actual expenses. The taxable rental income is 90% of the gross rent. For example: the monthly rent of HUF 200,000 → the taxable income is HUF 180,000/month → the SZJA at 15% = HUF 27,000/month.
No receipts required: The 10% deemed cost deduction is available automatically — the landlord does NOT need to provide the receipts or the invoices for the expenses. The deduction covers the "átalányköltség" (the "flat-rate expenses") including the "karbantartás" (the "maintenance"), the "javítás" (the "repairs"), the "közös költség" (the "common charges"), and the "értékcsökkenés" (the "depreciation").
Simple calculation: The rental income after the 10% deduction: Gross rent × 90% = Taxable income. The SZJA: Taxable income × 15% = Tax payable. No additional social contribution (szocho) applies to the rental income for the individuals.

Alternative — Actual Cost Deduction (Tételes költségelszámolás)

Itemised cost accounting: The landlord may elect the "tételes költségelszámolás" (the "itemised cost accounting" or the "actual cost deduction") instead of the 10% deemed cost. The deductible actual expenses include: (a) the "közös költség" (the "common charges" — the building maintenance, the cleaning, the utility common areas), (b) the "karbantartás és javítás" (the "maintenance and the repairs"), (c) the "biztosítási díj" (the "insurance premium" — the building and the liability insurance), (d) the "értékcsökkenési leírás" (the "depreciation" — at the rate of 2% per year for the residential buildings), (e) the "ingatlanadó" (the "property tax" — the "építményadó" and the "telekadó").
Record-keeping required: The itemised cost deduction requires the complete record-keeping — the invoices, the receipts, the contracts, and the depreciation schedules. The records must be retained for 5 years. The depreciation must be calculated following the "számviteli törvény" (the "Accounting Act" — Act C of 2000).
Choosing the method: The landlord may choose the method that results in the lower tax. The 10% deemed cost is simpler and better for the properties with the low actual expenses. The itemised deduction is better for the properties with the high renovation or the maintenance costs. The method may be changed from year to year — the landlord is NOT locked into the same method.

No Szocho on Rental Income for Individuals

No health contribution (EHO): The rental income received by the individual landlord (the "magánszemély bérbeadó") is NOT subject to the "egészségügyi hozzájárulás" (the "EHO" — the "health contribution" formerly at 13%) or the "szociális hozzájárulási adó" (the "szocho" at 13%). The exemption applies automatically — the landlord does NOT need to register for the szocho for the rental activity.
Threshold — the certain limits: If the landlord receives the rental income as the "rendszeres jövedelem" (the "regular income") in the significant amount (the total annual income from all sources exceeding approximately HUF 1.2 million), the landlord may need to pay the "egészségügyi szolgáltatási járulék" (the "health service contribution") of approximately HUF 9,600/month (the "minimum health contribution" for the individuals without the other health insurance coverage). However, this is NOT the tax on the rental income — it is the separate health insurance obligation.
No separate rental regime: Hungary does NOT have the separate tax regime for the rental income (unlike the some other countries with the special rental income rules). The rental income is taxed under the standard SZJA rules with the 10% deemed cost or the actual cost deduction. The VAT (the "ÁFA" at 27%) applies only if the landlord is registered for the VAT and the annual rental income exceeds HUF 12 million.

Simplified Tax Regime — Flat-Rate Taxation

Tételes átalányadózás: The "tételes átalányadózás" (the "flat-rate taxation") is available for the small-scale landlords with the annual rental income below HUF 1 million. Under the flat-rate regime, the landlord pays the flat tax of HUF 45,000 per month (approximately EUR 120) instead of the 15% SZJA. The regime is optional — the landlord may choose the standard 15% SZJA if it is more favourable.
Eligibility: The flat-rate regime is available for the individuals who: (a) rent out the maximum of 3 residential units, (b) the annual rental income does NOT exceed HUF 1 million per unit, (c) the tenant uses the property as the "lakóhely" (the "residence"). The regime is NOT available for the commercial property letting or the short-term holiday rentals.
Registration: The landlord must register for the flat-rate regime with the NAV at the beginning of the tax year. The registration is through the "e-Bevallás" system using the "nyilatkozat" (the "declaration") form. The regime applies for the minimum of 12 months.