Tax and social security obligations of foreign individuals and expatriate employees

Specialized payroll, tax and social security expertise for international scenarios

We primarily recommend this service to companies where international payroll-related matters arise, such as:

• Employment of foreign employees in Hungary
• Secondment of Hungarian employees abroad
• Parallel employment in multiple countries
• Intra-group employee mobility

Why expert support matters

In international cases, companies typically face higher-value compensation packages and increased levels of risk. Our payroll team includes professionals with qualifications and hands-on experience in international personal income taxation and cross-border social security matters, enabling us to provide fast and reliable support.

How we can help

• Determining tax residency and assessing relevant circumstances
• Advising on insurance coverage and documentation requirements
• Practical interpretation of international treaties
• Reviewing personal income tax and social security obligations and assessing risks
• Supporting “shadow payroll” solutions and calculations in international employment scenarios
• Providing ad hoc professional support for in-house payroll teams, or outsourcing expat-related payroll tasks upon request
• Liaising with foreign payroll providers and coordinating discussions
• Interpreting international regulations related to secondments

Hypothetical tax (yypotax) and tax equalization

We assist with the interpretation and calculation of hypothetical tax (typically in secondment and tax equalization arrangements), ensuring transparency and clarity in payroll processes for both the employer and the employee.