Hungary's Digital Nomad Visa Requirements

What Is Hungary’s Digital Nomad Visa (White Card)?

Hungary's Digital Nomad Visa, also known as the "White Card" is a specialized residence permit designed for individuals who work remotely and are employed by companies located outside of Hungary. The visa is ideal for digital nomads who wish to live in Hungary while maintaining their employment or running a business abroad. The White Card offers flexibility and allows these individuals to enjoy Hungary’s rich culture, central location in Europe, and favorable living conditions without the need to secure local employment.

The digital nomad trend is growing, and Hungary provides an excellent opportunity for those who wish to live in a central European country with a high quality of life, while continuing to work for their employer abroad.

Visa vs. Residency Permit: What’s the Difference?

A visa typically allows a foreign national to enter Hungary for a specific purpose and duration, usually short-term, such as tourism or business. It is a temporary permission that dictates how long you can stay within Hungary’s borders for that specific visit.

On the other hand, a residency permit, like Hungary’s White Card, grants the holder permission to reside in the country for a longer period, often based on employment, family reunification, or specific circumstances like the Digital Nomad Visa. Residency permits allow a foreign national to live in Hungary and carry out activities such as remote work for international employers, while also accessing certain rights and services.

In summary:

• Visa: Short-term stay, usually for tourism, business, or for picking up a residence permit.
• Residency Permit: Long-term stay, granting the ability to live in Hungary for extended periods, often tied to employment or special statuses like the White Card for digital nomads.

Do not confuse the White Card with the residence permit fot guest self-employment!

How To Get The Digital Nomad Status?

To apply for Hungary’s digital nomad visa, also known as the White Card, you’ll need to meet specific requirements, particularly regarding your visa and residence permit status.

1. Eligibility Criteria

Before applying for Hungary’s Digital Nomad Visa, ensure you meet the following requirements:

• Non-Hungarian employment or business: You must be employed by a company based outside of Hungary or own a business that operates and generates income outside of the country.
• Remote Work Capability: Your position or business must allow you to perform tasks remotely.
• Financial Proof: You need to demonstrate a steady income stream for at least six months prior to your application. This includes income from employment, business activities, or other verified sources.

2. Gather Required Documents

You will need the following documents to apply for the White Card:

• Valid Passport: Your passport must be valid for the duration of your stay.
• Proof of Employment or Business Ownership: This includes an official letter from your employer or documentation showing ownership and operation of a business.
• Income Statements: Provide income equal to or exceeds EUR 3,000 net for at least 6 months prior to entry, to show that you can financially support yourself while living in Hungary.
• Accommodation Proof: You must provide proof of accommodation, such as a rental agreement or property ownership in Hungary.

3. Check Your Visa Status

If you do not already have a residence permit and are not from a visa-exempt country, your first step is to submit an application for a residence permit. This application must be submitted outside of Hungary at a Hungarian consulate. You do not need to apply separately for a visa, as your residence permit application will also serve as your visa application, which will entitle you to enter Hungary to collect your residence permit.

4. Application for Residence Permit Within Hungary (For Visa-Free Countries)

For nationals of visa-free countries, the process is more streamlined. If you are from a visa-free country and do not already have a residence permit, you can apply for one within Hungary as long as you are legally entering in the country.

There are two ways to submit your application for a residence permit in Hungary:

1. Online: You can submit your application electronically through the Enter Hungary platform.
2. In Person: You can also apply in person at the competent regional directorate of the National Directorate-General for Aliens Policing (NDGAP), according to your place of accommodation.

4. Await Approval

The immigration authority may request additional documents to clarify any details during the application process. It's important to stay in touch with the authorities and provide any requested information promptly.

5. Receive Your Digital Nomad Residence Permit

Once approved, you will receive the White Card, granting you the right to reside in Hungary for up to one year, with the option to extend it for another year if you continue to meet the requirements.

Benefits of the Hungarian Digital Nomad Visa

Hungary's Digital Nomad Visa, commonly known as the "White Card," provides a flexible option for remote workers seeking to live in Hungary while continuing their international work. The visa comes with several attractive benefits:

Work Flexibility: The White Card allows digital nomads to work remotely for a company based outside of Hungary, or run a business registered abroad. It opens up the opportunity to live in Hungary without needing a local work contract, making it ideal for freelancers and entrepreneurs.

Reliable High-Speed Internet: Hungary boasts a well-developed digital infrastructure with widespread access to high-speed internet, particularly in major cities like Budapest. This ensures that digital nomads can stay connected and productive, whether they’re working from home or in one of the many coworking spaces available throughout the country.

Ease of Travel: As a member of the European Union, Hungary offers visa holders easy access to the Schengen Area. This allows for hassle-free travel to 26 European countries without the need for additional visas.

High Quality of Life: Hungary, particularly Budapest, offers a high quality of life with affordable living costs, excellent public transportation, and a vibrant cultural scene. It’s an attractive option for those who want to enjoy European living standards without breaking the bank.

Streamlined Application Process: The visa application process is relatively straightforward. Applicants need to demonstrate an employment relationship or own a business outside Hungary, and show proof of sufficient income. The required documentation includes details of remote work or business income, professional qualifications, and educational attainment​.

Do Digital Nomads Pay Tax In Hungary?

As a digital nomad, understanding your tax obligations in a foreign country is crucial, especially when dealing with cross-border income. Hungary’s tax laws can be a bit tricky for foreigners, but the key factor that determines your tax liability is your residency status.

Tax Residency in Hungary for Foreigners

To determine if you need to pay taxes in Hungary as a digital nomad, the first thing to clarify is whether you are considered a Hungarian tax resident. If you meet any of the following conditions, you may be classified as a Hungarian tax resident:

1. Permanent Home: If you establish a permanent residence in Hungary, you are considered a tax resident. This applies even if you travel frequently or live abroad temporarily.
2. Center of Vital Interests: Hungary is where your most significant personal and economic ties are. This could mean having family, a business, or significant investments in the country.
3. Time Spent in Hungary: If you spend more than 183 days per year in Hungary, you will be considered a tax resident.

What Does Being a Tax Resident Mean?

Once you are deemed a Hungarian tax resident, you are responsible for paying taxes on your income earned both in Hungary and abroad. This includes income from remote work, investments, and rental properties.

Double Taxation Agreements: How They Help

Hungary has entered into agreements with over 80 countries to prevent double taxation, meaning you won’t have to pay taxes on the same income twice if you comply with the rules in both countries. For example, if you're earning income in your home country while living in Hungary, the taxes paid there may be credited against your Hungarian tax obligations.

Taxation of Foreign Income

For digital nomads earning employment income abroad while residing in Hungary, your income might be subject to taxes in Hungary depending on the length of your stay and the nature of your work. Employment income is generally taxed where the work is performed, but there are exceptions for short-term assignments and companies without a permanent establishment in the country.

Social Security Contributions

If you're employed or self-employed in Hungary, you’ll need to consider social security contributions. Hungary applies the general EU rules, which means you will likely contribute to the system of the country where you perform most of your work or reside. However, it's always a good idea to verify your specific situation with a tax advisor.

Want To Invest In Hungary As Well?

If you're considering a move to Hungary as a digital nomad, why not explore Hungary’s Guest Investor Program as an additional pathway? The Hungary Residency by Investment Program, often referred to as the Golden Visa, allows you to not only enjoy the benefits of living in Hungary but also to invest in the country’s thriving economy.

Why is Hungary's Golden Visa Program Unique?

The Hungarian Golden Visa Program, also known as the Guest Investor Residency Program, stands out due to its affordability, flexibility, and long-term advantages. Here are some reasons why it is a compelling choice:

• 10+10-Year Residency: Secure a long-term residency in Hungary with an option to renew for an additional 10 years.
• Visa-Free Travel in the Schengen Zone: Travel freely to 26 European countries.
• Family-Friendly: Extend the benefits to your spouse, children, and even dependent parents.
• Business Freedom: Establish or expand your entrepreneurial ventures with ease.
• Work Freely: Take advantage of job opportunities without restrictions.
• Minimal Stay Requirements: Unlike other programs, Hungary’s Golden Visa has no minimum stay requirement.

Investment Options to Qualify as a Guest Investor

To qualify for Hungary’s Golden Visa, you must contribute to Hungary's economy through one of these options:

• Investment Fund Shares: Purchase shares from a designated real estate fund with a minimum value of €250,000.
• Real Estate Investment: Acquire a residential property in Hungary valued at €500,000 or more. (Note: property purchases will be allowed starting January 1, 2025.)
• University Donation: Make a €1,000,000 donation to a Hungarian public university to support education, research, or the arts.

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