Bt in Hungary

I wonder if anyone could help me with a quick query. I have a Bt in Hungary, established in 2013.
I wish to transfer to KATA taxation. But my accountant says that, as the Bt was set up as a 50/50 ownership with my wife, she would be liable for taxation under KATA. My wife has income from her employer so she does not rely on the Bt.
Is it possible for me to take full ownership of the company, or as close as possible, in order to minimize the costs. Any advice would be welcome.

This is really an interesting question. But one that really can be only answered by a competent accountant or attorney in Hungary, or maybe even better to ask directly at the tax office. Rules are different in every country, and in Hungary, the rules seem to change frequently. So my decade old KFT formation info is probably wrong today.

But, as a guess, I doubt you can take full ownership of a BT. If you do, then it would no longer be a partnership, but a single trader / sole proprietor business, which is a different business entity.

But, just as a thought to chew on, in the USA at least (and again country law differ), there is such a thing as a "limited partner" who does not actually work for the partnership, but rather simply supplies capital. In the USA such a limited partner does not have to pay social taxes on their income, which saves on taxes (their income is classified as investment income, which is taxed differently). Just an idea to ask a competent attorney or accountant regarding your issue here in Hungary. Hope this helps.

Thank you very much for your reply. You are right that things change pretty quickly here regarding company law. That US style limited partner thing sounds interesting. I will see if such a thing exists here. Once again. Many thanks for your reply.

Based on this text in hungarian, what you are looking for is possible: … -mukodese/

You need at least two partners for the BT, but one of them can be a "silent partner", sounds like what klsallee called "limited partner".

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