publications

 

taxation of real estate transactions in 2012

The provisions of the Stamp Duty Act applicable on real estate transactions have regularly and significantly changed recently. For the first time they changed significantly in 2010, ...

 

Hungary becoming a new centre of international IP investments

As a result of the latest amendments to the local tax laws Hungary will become one of the top IP-holding locations within the European Union. Beside the existing tax benefits...

 

Is local business tax becoming deductible?

Our law firm has won a tax lawsuit in front of the Hungarian Supreme Court against the tax authority in a case that may affect hundreds of taxpayers. In contrast to...

 

New directions in international tax planning: Hong Kong and Singapore

The increased efforts of the OECD and the EU to combat money laundering, the measures of the EU against harmful tax competition and the new...

 

Things you always wanted to keep in mind in relation to the taxation of M&A transactions, but always forgot

Various M&A transactions may have different tax effects. However, there are such tax effects that occur in connection with almost all M&A transactions, and ignoring them leads to...

 

TAX AMNESTY AGAIN

The deadline for the repatriation of income generated abroad, which was supported by the 2008-year tax amnesty had not even expired when, at the end of last year, the Hungarian Parliament ...

 

Debt collection at master level

The legal difficulties of debt collection are known to all players of Hungarian business environment. In addition, neither the court practice nor the long-lasting execution procedure makes ...

 

Taking ownership of a leased asset

In case of financial leases of real properties the existing legislation does not specify exactly under what legal title the lessee acquires ownership of the leased asset. It poses a risk both on the ...

 

Incentivising management in a tax-efficient way

The share option and similar incentive schemes are not, however, commonly used in Hungary. While, on one hand, this can be attributed to the relative underdevelopment of the ...

 

Who should be liable for representations and warranties?

It can occur that in certain cases the seller is not willing to make any, or only limited representations and warranties. It can happen particularly in case of companies, where the seller is only a ...

 

Real property sale structured as "preferential transfer of assets"

Structuring real property transfers as a so called "preferential transfer of assets", now regulated in three Hungarian tax laws, can be an alternative to the conventional property acquisitions. In ...

 

Selling property as an alternative possibility of financing

As an effect of the present financial crisis and as a consequence of the shrinking supply of bank financing, several companies seek new ways of financing or extending their activities. As a result, ...

 

Dividend payment in case of change of ownership

During company acquisitions the entitlement to dividends may trigger several questions and problems. It is frequently the question which party – the seller or the purchaser – shall receive the profit ...

 

Risk mitigation in the absence of seller reps and warranties

In this article we aim to provide a short overview of the possibilities to reduce the risks caused by the exclusion of warranties in a company acquisition. In certain cases (such ...

 

Shares for management - How to give such, so that we can take back...?

In this article we aim to provide a short overview on the tools by which the redemption of management incentive shares may be exercised, and their limitations. It is rather common for  ...

 

Safeguarding confidential information during due diligence

M&A transactions are usually preceded by a due diligence exercise enabling the purchaser to have an insight in the business course, business plans, financial statements and relevant ...