The Hungarian tax incentive scheme

The Hungarian financial support system (Motion Picture Act and Corprate Tax Act) has two pillars: indirect state support (tax incentives for films and related projects) and direct state support (for local films or co-productions).

Only feature films, short films, documentaries, science, nature and animated films, made-for-TV movies and TV series are eligible.

Tax rebate is 25% (from 2014.06.25) of the eligible Hungarian spend

Eligible spend includes all payments contained in the budget that were paid to a Hungarian taxpayer

Direct pre/post and production expenses paid by the qualified Hungarian production
Wages, above- and below-the-line, when paid by the qualified Hungarian production
Financing costs, and administration, insurance, completion bond, accommodation, etc. costs

Items excluded by the law are

Indirect costs (eg. A&P) over 2% of the overall spend (max 17 kEUR)
Costs incurred after the master print (distribution)
Royalties are limited to 4% of the Hungarian budget of the film
Producers’ fees are limited to 4% of the Hungarian budget of the film

Up to 25% of the eligible spend can be foreign spend which also qualifies for the 25% (from 2014.06.25) tax rebate.

Total state subsidies shall not exceed 50% of the production budget, or in case of

Co-productions 60% (from 2014.0625.) of the Hungarian contribution in case another European Economic Area member state’s registered film production company participates in the co-production
Co-productions 100% (from 2014.06.25) of the Hungarian contribution in case another OECD member state’s registered film production company participates in the co-production
Low-budget films and films produced in Hungarian language the extent of subsidies is 100% (from 2014.06.25)
Documentaries, animation, shorts, experimental films etc. 100%

The tax rebate is a non-recourse, non-repayable and non-recoupable cash rebate.

To read more about the registration & qualification process and the claims cycle, please click here to download our full tax incentive guide.

Advantages of filming in Hungary

Experienced and English speaking professional crew with 12 hours working day shifts and no unions

Industry standard equipment (cameras, lights, cranes)

Set construction know how

The capital city is today a cosmopolitan hub of music, culture and art, full of galleries, theater and opera performances, and various concerts

The continental climate provides four full seasons and comfortable summers with up to 16 hours of sunlight

Please click on the following link to see the list of films that have chosen Hungary as their filming location: Filmed in Hungary. You have to admit, with nearly 1 500 titles produced here, you can not go wrong by coming to us.

Locations

Beautiful cities and places with various architectural styles all over the country, including roman ruins, Turkish baths and mosques, medieval castles, ornate palaces, and socialist behemoths.

Various shooting possibilities: Budapest can be Amsterdam, Berlin, Buenos Aires, London, Paris, Vienna or Moscow.

Location gallery