If you have a company in Hungary, you must know how to give quality Hungarian wines TAX FREE as business gift for your business partners.
Christmas is approaching, intention of giving gifts to clients, and if you plan to give Christmas presents for your clients and business partners, this may be interesting for you.
The recently announced 451/2023. pursuant to government decree no. 424/2022 on emergency rules during the state of emergency according to the government decree (until 23.05.2024, according to the current situation) from 16 November 2023, quality Hungarian wine products sold in labeled bottles with a certain protected designation of origin or protected geographical indication can now be given tax-free as business gift, and also served for business representational purposes, which you do NOT buy in the general sense (not in Tesco or Spar), nor in a wine reseller shop, but directly buy from the winery or consumed in one of these cellar’s place within the company of your business partners (the food served at such a wine dinner is still taxable +33% tax apply).
Important factors, in view of which the allowance of Hungarian wine products are tax-free:
– Intended use: business gift, catering for business representational purposes, allowance for employees up to a maximum of HUF 23,000 per a year for each employee (=gift of low value, a separate record must be kept of this).
– Labeled, bottled, contains a designation of origin (so wine in PET bottle, fake, shoddy wines are NOT tax-fee) However, this must be on the label: Tokaji, Egri, Etyeki, Villányi, etc.
– You have to buy or order directly from the cellar (wines bought in supermarket chain, liquor shops, Tesco or spar are NOT good, nor are wine reseller shops, wine houses are NOT good either) only ordering directly from the cellar is tax-free.
– Winemaking products can be: wine, sparkling wine, champagne, wine liqueur, sparkling wine.
– An invoice must be requested for the name, address, and tax number of your company (this is basic, but it is important to mention).
– Important: The year-end bonuses for employees cannot be redeemed tax-free with a gift package made up of quality wines.
If you have the desire to give quality Hungarian wines to your business partners or reward yourself, your employees tax-free, just go ahead, in accordance with the above conditions, you can do this from now until 23 May 2024.
