Legal blog

One of the most common situations giving rise to the greatest number of conflicts during probate proceedings is when the deceased dies without making a testamentary disposition. In such cases, the fate of the assets and debts is determined by the statutory order of succession under the Hungarian Civil Code. Although the rules are clear, a significant proportion of clients are not aware of the more important changes introduced by the Civil Code currently in force, particularly with regard to the rights of the surviving spouse or the extent of the compulsory share.

Under the rules currently in force, the general rate of personal income tax (PIT) is 15 per cent of the tax base. In everyday language, many people lump the different concepts together and simply call every case in which no tax is deducted from their gross salary a “tax exemption.” From a legal-dogmatic perspective, however, classical tax exemption must be sharply distinguished from tax allowances. While tax-exempt revenues do not form part of the tax base in the first place, the tax system also recognises different rules that result in a reduction of the private individual’s tax: these are tax allowances reducing the consolidated tax base.

A particular characteristic of personal income tax is that these tax allowances and tax exemptions may be claimed only against income falling within the consolidated tax base and the tax thereon, and exclusively up to that amount.

Regulation (EU) 2024/1689 of the European Parliament and of the Council laying down harmonised rules on artificial intelligence represents a landmark step in reconciling innovation with the protection of fundamental rights in the digital sphere. The Regulation’s primary objective is to improve the functioning of the internal market and to promote the uptake of human-centric and trustworthy artificial intelligence (AI) within the European Union. At the same time, the Regulation attaches particular importance to ensuring a high level of protection of health, safety and fundamental rights—including democracy, the rule of law and environmental protection—against the potentially harmful effects of AI systems.

When enforcing overdue monetary claims, the time and cost involved in court litigation often act as a deterrent for the claimant. However, the Hungarian legal system provides a faster alternative that dispenses with the taking of evidence, known as the order for payment procedure (FMH).

This substitute for litigation, a simplified civil non-contentious procedure, is one of the most effective legal tools for enforcing claims, provided that the obligor does not contest the debt on the merits.

The National Assembly has adopted its individual resolutions on the election of the members and officers of the investigation committees, thereby concluding the procedural process of establishing the bodies. Under the decisions, both the Investigation Committee Uncovering the Systemic Crisis of Child Protection and the Investigation Committee Uncovering Those Responsible for the Pardon Scandal have received their final personnel compositions, allowing the elected representatives to immediately begin performing their independent duties as set out in the resolutions.

In our previous article titled “Significant Changes in Consumer Protection in 2026”, we presented the significant changes that the relevant Government Decree will bring to consumer protection this year. In this article, we present in more detail what webshops and consumers can expect in relation to the “online withdrawal function” already outlined there.

In this article, we present Directive (EU) 2023/970 of the European Parliament and of the Council (10 May 2023) on strengthening the application of the principle of equal pay for equal work or work of equal value between men and women through pay transparency and enforcement mechanisms, as well as the expected related changes in Hungary.

The secure and prudent operation of the financial sector is inconceivable without combating money laundering and terrorist financing (abbreviated in English as AML/CFT). This objective is served by the latest Recommendation No. 1/2026 (II.24.) of the Magyar Nemzeti Bank (MNB), which sets out in detail the duties, responsibilities, and related internal procedures of officers working in this field.

Although the topic is highly complex from both a legal and professional perspective, this article summarizes, in an accessible manner, the most important changes and expectations, which primarily affect credit institutions and financial service providers. The purpose of the recommendation is to make the application of the law more predictable and to standardize expectations across domestic financial institutions.

Several amendments to the Civil Code entered into force on 1 March 2026. The need for these amendments arose from the demand to address practical problems identified on the basis of the practical experience gained in the application of the law over more than ten years since its adoption. The amendments rely on the results of the working group analysing the experiences of civil adjudication. In this article we present the most important amendments to the Civil Code.

As of 1 March 2026, a significant amendment has entered into force in Hungarian real estate law affecting condominium developments: the legislator has introduced a new legal institution, the Condominium Right of Improvement (társasházi építményi jog).

The new regime was enacted, inter alia, through amendments to Act CXXXIII of 2003 on Condominiums and Act C of 2021 on the Real Estate Registry. Its purpose is to provide a more structured and secure legal framework for purchasers in condominium projects under construction.

In this article we summarise the practical implications of the Condominium Right of Improvement for developers, purchasers and financing institutions.