The first steps after company formation Hungary require careful attention and planning. The successful completion of the company formation procedure is just the beginning — especially for foreign owners and managing directors, it is important to be aware of the administrative and practical tasks that are necessary for the actual operation of the company in Hungary.
Many people are under the misconception that once the company has been registered by the Court of Registration, the business is immediately “ready” to operate. In reality, however, a number of mandatory and strongly recommended steps must still be completed in order for the company to operate lawfully, smoothly, and without penalties.
It is very important to note that administrative obligations, bookkeeping, and the obligation to submit tax returns exist even if the company does not carry out any business activity.
Below, we present the most important tasks in detail, specifically from the perspective of foreign company founders and managing directors.
Ügyfélkapu – the Basis of Online Administration
Ügyfélkapu is one of the cornerstones of the Hungarian state’s electronic administration system. It is an online access linked to a natural person (not a company) through which numerous official matters can be handled, such as taxation, social security, or immigration-related procedures.
For foreign managing directors and owners, Ügyfélkapu is particularly important because:
- it enables electronic communication with the tax authority (NAV),
- many forms and notifications are available only electronically,
- it may later be required for managing the Cégkapu.
Ügyfélkapu can be applied for in person at a government office in Hungary or, in certain cases, at a Hungarian diplomatic mission abroad.
In every company, at least one managing director is required to have Ügyfélkapu access.
Opening a bank account – a basic requirement for operation
To operate a Hungarian company, a business bank account is required. Opening a bank account generally:
- requires personal appearance (although there are exceptions at certain banks),
- requires the presentation of company registration documents,
- is often linked to the personal presence of the managing director.
It is important to note that Hungarian banks apply strict compliance and anti-money laundering regulations, which may make the process time-consuming. As an alternative, certain fintech service providers may also be considered; however, their acceptance may differ from a regulatory perspective. Accepted fintech service providers can also be found on the website of the Hungarian National Bank (https://intezmenykereso.mnb.hu/).
Under the applicable legislation, a company has 8 days from the date of registration by the Court of Registration to open a business bank account. A fintech account can usually be opened within this timeframe; however, based on experience, opening an account with a Hungarian commercial bank generally takes significantly longer.
Tax identification number – for natural persons
The tax identification number is an identification number linked to a natural person and is essential in Hungary for all matters related to taxation. In the case of foreign managing directors and owners, it is often required for:
- establishing an employment or agency relationship,
- paying contributions,
- certain official notifications.
It is important to distinguish between the company’s tax number and the natural person’s tax identification number; the two are not the same, and both are required during operation.
Obtaining a tax identification number is a relatively simple and fast process; however, practical knowledge and experience are required for proper administration.
If you have entrusted your bookkeeping to our company, the administration is free of charge for the owner / managing director.
TAJ number – social security in Hungary
The TAJ number (Social Security Identification Number) is required to participate in the Hungarian health insurance system. For foreign nationals, the need to apply for a TAJ number depends, among other things, on whether:
- the managing director or owner works in Hungary,
- a Hungarian social security relationship arises,
- the country in which the person is currently insured.
In certain cases, applying for a TAJ number is mandatory, while in other cases it is not necessary or can be postponed. Therefore, it is advisable to seek expert assistance when assessing the specific situation.
Applying for a TAJ number is a significantly more complex task than obtaining a tax identification number.
If you have entrusted your bookkeeping to our company, the administration is free of charge for the owner / managing director.
Choosing an accountant – a key decision
In Hungary, bookkeeping is mandatory, and the role of the accountant is particularly important, especially for foreign owners. A good accountant:
- prepares tax returns and contribution declarations,
- monitors deadlines,
- helps navigate the Hungarian tax system,
- often communicates with the tax authority (NAV) on behalf of the company.
For foreign clients, it is strongly recommended to choose an accountant who communicates in English (or another foreign language) and has experience with international clients.
Cégkapu – official electronic corporate communication
Cégkapu is the official electronic mailbox for businesses in Hungary. Most authorities – especially the tax authority (NAV) – communicate with companies exclusively via Cégkapu.
Cégkapu:
- is mandatory for all Hungarian companies,
- receives official messages with legal effect,
- is usually managed by the managing director or an authorized person (e.g. an accountant).
To create a Cégkapu account, the managing director must also have Ügyfélkapu access.
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All obligations listed in this information guide can be handled with the assistance of the professionals of Company Express Kft within the framework of bookkeeping services or individual mandates