As part of its economic protection action plan, the government decided in April to further reduce KIVA, which was approved by parliament among several other amendments.
In addition to the continuous reduction of SZOCHO, which burdens salaries and members’ income, the reduction of KIVA’s tax rate will continue in order to maintain KIVA’s competitiveness. The tax rate is currently 12%, but from next year it will be further reduced to 11%. It is definitely worthwhile to make a specific calculation, especially for companies with a larger number of employees and relatively low profits, about the possible benefits of the transition.
Find our accountants who will be happy to help you with the calculation.
