Opening a Representative Office of a Foreign Company in Hungary
IST Hungary provides professional support for foreign companies looking to establish official representative offices in Hungary. Our solution is ideal for businesses that wish to establish a presence in Europe without setting up a full-fledged legal entity.
6 Reasons to Open a Representative Office in Hungary
Cost savings - no minimum capital requirements
Quick start - registration in just 3–5 business days
Market research - the ability to test demand without commercial risks
Tax advantages – no corporate income tax or VAT
European «residency» - access to the EU market with 500 million consumers
Investment climate - Hungary leads Central Europe in foreign investment growth (+15% in 2023)
Legal Status of the Representative Office
A representative office in Hungary is:
A non-profit entity without the right to engage in commercial activities
The company’s official presence within the EU
A tool for marketing and customer support
Subject to mandatory registration in the Commercial Register
Important details:
It is not a separate legal entity
The name must match that of the parent company
All documents require a notarized translation
Financial aspects
The representative office is exempt from:
Corporate tax (9%)
VAT
Income tax
Only entertainment expenses, if any, are subject to taxation. For commercial activities, you will need to: open a branch or register a subsidiary.
A 4-step sign-up process
Strategic Consulting
Determining the optimal market presence model
Legal training
Our Hungarian lawyer will draft and prepare all the necessary incorporation documents
Official registration
Our attorney will register your foreign company’s representative office with the Hungarian Commercial Court
Business Support
We assist with setting up a business in Hungary: office leasing, visa and residence permit applications for company employees, as well as for founders and directors of Hungarian companies.
List of Required Documents
The following documents are required for registration:
Certificate of Incorporation for the parent company
Full list available upon request...
We will provide a complete list of documents after reviewing your situation.