In accordance with Government Decree No. 140/2020 (21 April) employers operating in the private sector can provide benefits for up to HUF 800,000 per year, while employers operating in the public sector can provide benefits for up to HUF 400,000 per year in 2020 under preferential taxation.
allocations also increased in 2020:
- instead of HUF 225,000, the employer can now transfer HUF 400,000 to the accommodation subaccount
- instead of HUF 150,000, the employer can now transfer HUF 265,000 to the hospitality subaccount
- instead of HUF 75,000, the employer can now transfer HUF 135,000 to the recreation subaccount
as SZÉP Card benefit under preferential taxation.
Benefits transferred before 31 December 2020 are exempt from social contribution tax, so employers are only liable to pay personal income tax for these SZÉP Card benefits.
Employers may also provide SZÉP Card benefits on top of the allocation, however, the amount exceeding the allocation is subject to personal income tax as well as social contribution tax.