Tax Reduction for People with Disabilities in Hungary (2025)

Tax Reduction for People with Disabilities in Hungary (2025)

People living with certain disabilities are entitled to a personal income tax allowance, which can significantly reduce their taxable income. Here's a comprehensive overview of who qualifies and how the benefit works in 2025:

Who is eligible for the tax allowance?

You are eligible if you meet any one of the following criteria:

• You have an official medical certificate stating that you have a condition classified as a severe disability under Government Decree 335/2009 (XII.29). This includes a wide range of conditions such as certain types of diabetes, epilepsy, severe musculoskeletal disorders, hearing or visual impairments, etc.
• You receive disability support (fogyatékossági támogatás) or a disability annuity (rokkantsági járadék) — in this case, you do not need a separate medical certificate.

The medical certificate or the official decision on your eligibility must be kept for the legally required retention period (usually 5 years).

How much is the allowance in 2025?

In 2025, the allowance reduces your consolidated tax base by 96,900 HUF per month. This amount is one-third of the monthly minimum wage (which is 290,800 HUF in 2025), rounded to the nearest hundred.

This means:

• Annual reduction: up to 1,162,800 HUF
• Tax saved annually: around 174,420 HUF, assuming a 15% personal income tax rate.

The allowance can be applied starting from the month when your disability status begins.

What kinds of income qualify for the tax reduction?

The allowance can be applied to income that is part of your consolidated personal income tax base, including:

• Income from non-independent activities, such as:
• Salaries
• Taxable social security benefits (e.g., childcare benefit – GYED)
• Income from independent activities, such as:
• Self-employment
• Income from agricultural production (e.g., small-scale farming)
• Rental income
• Other taxable income, such as:
• Gambling income (if it qualifies as part of the consolidated tax base)

The allowance cannot be used for income that is taxed separately (e.g., capital gains, dividends).

How can the allowance be claimed?

You can claim the tax allowance in two ways:

1. During the year:
• Submit a tax advance declaration (adóelőleg-nyilatkozat) to your employer or any regular payer of income.
• This can be done most easily online through the NAV’s Online Form Filling Application (ONYA), or on paper.
2. After the year ends:
• Claim the allowance retrospectively in your annual personal income tax return (szja-bevallás).

You can also choose to make a standing declaration so that your employer continuously applies the allowance until you revoke it. In this case, you don’t need to submit a new declaration every year.

Order of applying multiple tax allowances

If you are eligible for multiple personal income tax benefits, there is a legal order in which they must be applied. The disability-related tax allowance is the fourth in line:

1. Tax allowance for mothers with four or more children
2. Tax exemption for individuals under 25
3. Tax exemption for mothers under 30
4. Tax allowance for people with disabilities
5. First married couples' allowance
6. Family tax allowance
7. Family contribution allowance

This order matters because each allowance reduces your taxable income, and some may fully use up your available tax base before the others are applied.

For more information, check: https://nav.gov.hu/ado/szja/szja-kedvezmenyek/szemelyi-kedvezmeny