Consular Services

Taxes

Attention Taxpayers: Due to limited resources, the Internal Revenue Service will be unable to provide tax help to Americans resident in Hungary this year. For information for taxpayers overseas please see the Tax Guide for U.S. Citizens and Resident Aliens Abroad*, Publication 54, of the Internal Revenue Service.
(*pdf file. If you do not have Adobe Reader, please visit Adobe's page, where you can download it for free.)

U.S. Federal Taxes (IRS)

U.S. citizens must report their worldwide income on their federal income tax returns. Living or earning income outside the United States does not relieve a U.S. citizen of the responsibility for filing tax returns. However, U.S. citizens living and/or working abroad may be entitled to various deductions, exclusions, and credits. ACS provides a list of unvetted U.S. tax practitioners in Hungary and a limited supply of federal tax forms. For more information on U.S. tax issues, please consult the IRS web site.

The closest IRS office that has jurisdiction over Americans in Hungary is located in Frankfurt, Germany. Their contact information is:

U.S. Consular General Frankfurt
Internal Revenue Service
Giessener Str. 30
60435 Frankfurt (Main), Germany
Tel.: (49) 69-7535-3834; Fax: (49) 69-7535-3803
E-mails: *irsfrankfurtmailbox@irs.gov or IRS.Frankfurt@irs.gov
Web site: http://berlin.usembassy.gov/germany/irs.html

The 2007 IRS exchange rate for Hungary is $1.00 = HUF 184.01874

U.S. State Tax Information

The American Citizen Services does not have state tax forms. For your convenience, we list the states' tax web sites below.

Alabama | Alaska | Arizona | Arkansas | California | Colorado | Connecticut | Delaware | District of Columbia | Florida | Georgia | Hawaii | Idaho | Illinois | Indiana | Iowa | Kansas | Kentucky | Louisiana | Maine | Maryland | Massachusetts | Michigan | Minnesota | Mississippi | Missouri | Montana | Nebraska | Nevada | New Hampshire | New Jersey | New Mexico | New York | North Carolina | North Dakota | Ohio | Oklahoma | Oregon | Pennsylvania | Puerto Rico | Rhode Island | South Carolina | South Dakota | Tennessee | Texas | Utah | Vermont | Virginia | Washington | West Virginia | Wisconsin | Wyoming

Hungarian Tax Information

The Hungarian tax authorities have advised us that U.S. citizens may call the following telephone number for Hungarian tax information in English, Tel.: 428-5375; Fax: 428-5374. For a more comprehensive interpretation of Hungarian tax law, it is advisable to consult a Hungarian tax expert.

As of May 1, 2004, Americans working for a Hungarian employer are generally subject to full Hungarian social security. In contrast, Americans (who have neither dual Hungarian citizenship, nor a Hungarian permanent residence permit, i.e., "letelepedési engedély") who are working in Hungary for a non-Hungarian employer are generally exempt from Hungarian social security. As the U.S. and Hungary have not yet entered into a social security totalization agreement, certain individuals may be required to pay into both country's social security systems on the same earnings. For further information, please consult a tax expert in Hungary.

Tax Accountants and Consultants 

Please note: We provide their names for your convenience only. The Embassy assumes no responsibility for their professional ability or integrity.

Alatorre and Phraner Tax Services - U.S. tax preparation services in Hungarian & English. Lloyd W. Phraner is a tax advisor who provides year round tax services in Hungary. He can be reached by dialing 36-21-252-3369 after 4 PM Hungarian time or by e-mail: lloyd@aptaxes.com. Our website with useful information can be found at www.aptaxes.com.  Lloyd Phraner is available for meetings in Hungary from May thru June.

Edelman Tax Services - Les Edelman, J.D., offers U.S. and Hungarian tax advice and tax return preparation services. Tel.: 36-70-215-9267; e-mail: Les@edelmantax.com; web site: www.edelmantax.com.

One Stop Business Solution - Accounting and tax services. U.S. tax preparation services in Hungarian & English. Erno Hegedus is a tax advisor who provides year round tax services in Seattle, WA. He can be reached by dialing 425-679-6570 Cell: 206-226-7673 after 8 am Hungarian time, or by e-mail: renoh54@yahoo.com. Their web site with useful information can be found at www.onestopbusinessneeds.com. Erno Hegedus is available for your business needs all year around. E – File is available. Fee starts $50.00

Other listings may also be found in The Budapest Sun, a weekly English-language newspaper.

• Frequently Asked Questions

Last updated: 02/26/2008