1. Investment vehicle
  2. 1. Form
  3. 2. Tax Treatment
  4. 3. Transfer Tax
  5. 4. Listable
  6. 5. Open- or closed-ended
  7. 6. Regulatory Supervision
  8. 7. Investor Restrictions
  9. 8. Best Feature
  10. 9. Worst Feature
  11. 10. Best Used For

jurisdiction

Hungary
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Updated on May 2022

Investment vehicle

  • Private real estate investment fund (in Hungarian "zártkörű ingatlan alap")

1. Form

  • Contractual

2. Tax Treatment

  • Exempt at fund level
  • Tax at investor level
  • Gains from sale/disposal of fund units taxable at investor level

3. Transfer Tax

  • Preferential real estate transfer tax of 2% (general rate 4% up to 1 billion HUF and 2% for the balance) (calculated on the market value of the real estate, e.g. usually the purchase price is accepted as market value)

4. Listable

  • No

5. Open- or closed-ended

  • Open- or closed-ended depending on type of the fund

6. Regulatory Supervision

  • Both the fund and the fund manager are regulated and licensed by the National Bank of Hungary

7. Investor Restrictions

  • No

8. Best Feature

  • Preferential stamp duty, no corporate income tax, no local business tax, list of the investors are not available publicly

9. Worst Feature

  • Statutory investment restrictions
  • Fund rules are subject to regulatory approval

10. Best Used For

  • Real estate

Disclaimer: “Information in this guide for any particular country or topic may have been subject to change since the date to which it was prepared”