Due to the third wave of the COVID pandemic, the Hungarian Government issued decrees which contain several restrictions and economic measures.

Outdoor activities

Between 5 am and 8 pm, individual leisure sports activities may be carried out on the outdoor and in the interior of the administrative area, preferably in green areas, alone or with people living in the same household, with a distance of at least 1.5 meters from others. You do not have to wear a mask during such sports activities. When leaving the buildings, on the street, in public areas, everyone is obliged to wear a medical mask, occupational safety mask, or a mask made of textile or other material in such a way that it constantly covers the nose and mouth.

Parks, arboretums and forests on the outdoors and in the interior of administrative areas shall remain open and may be visited in accordance with the rules in force when this regulation enters into force.

In case of a violation of the rules, the minimum amount of the fine is five thousand forints, the highest amount is five hundred thousand forints, and the amount of the on-site fine is from five thousand forints to one hundred and fifty thousand forints, and in case of repeated violations, two hundred thousand forints.

Closed stores

As general rule stores shall be closed. Exceptions:

• a grocery store selling daily consumer goods,
• other shops selling daily consumer goods (perfumes, drugstores, household cleaners, chemicals and sanitary paper products)
• shops selling materials and equipment essential for carrying out work, professional duties, economic, agricultural and forestry activities (in particular shops selling technical articles, parts, building materials and equipment), excluding shops selling entertainment and consumer electronics as their main activity;
• pet food and feed business,
• agricultural shops, including a fertilizer shop and a slaughterhouse,
• the market, the local producer market,
• horticultural goods, nursery,
• the shop selling the medicine, the medical device, the veterinary pharmacy;
• the gas station and
• national tobacco shops and a newsagent
• Staying in restaurant, bistro (or other catering service provider) for the purpose of taking over food for takeaway is permitted for the period necessary for this purpose.

Closed services

By default, spaces or locations providing services which require personal appearance shall be closed.

Exceptions:

• financial services (banks)
• transport service (taxi, public transport)
• private health services,
• social service (care, homeless hostel, village caretaker)
• postal and parcel delivery services
• the toto and lottery service
• vehicle services, agricultural and industrial machinery services, household appliance services (eg car, bicycle service, boiler repair), building services
• IT, communication device repair services
• the funeral service
• the veterinarian
• veterinary, phytosanitary, food testing laboratory services
• the food processing service
• the catering service
• animal husbandry services
• the services of a lawyer
• the security service
• building management and office services
• vehicle rental and car rental services
• laundry and cleaning service

Education

Adult education must be organized and completed in a relationship that does not require a personal meeting between the participants and the instructor – using a digital device or in the form of closed electronic distance learning or distance learning – even if it is not permitted by law, letter of support, grant agreement, an adult education contract, official contract, or training program. An exam cannot be organized in adult education.

Sports facilities

Ice rinks, swimming pools, gyms and fitness facilities and sports facilities are open to competitive athletes for training or sporting events.

Penalties

Compliance with the measures is monitored by the police with the assistance of the Hungarian Armed Forces. If the police become aware of a breach of duty during an inspection or on the basis of a notification from a soldier

• impose a fine of between HUF 100000 and HUF 1000000,
• may temporarily close the premises, area, institution or site for a period of at least one day and a maximum of one year.

The penalty does not apply if the operator or shopkeeper has taken the necessary measures, meaning that if the infringer has been called to leave and if he/she has not left, the police has been notified.

Exemption from social contribution tax

The payer performing an actual main activity shall be exempted from paying social contribution tax for the month of March with regard to natural person employees.

Sole trader and partnerships are exempted as well.

Exemption from the tax contribution base

Staff costs performed in November, December of 2020, January, February and March 2021 by the small business taxpayer are not included in the contribution base for the tax year.

Small business taxpayer are exempted from paying small tax.

This provision may be applied by a small tax enterprise carrying out an exempt activity falling within the scope of the small tax law in February 2021.

New beneficiary activities

The new beneficiary activities are the following:

• General retail sale in specialized stores (TEÁOR 4719),
• Retail sale of audio and video equipment (TEÁOR 4743),
• Retail sale of textiles (TEÁOR 4751),
• Retail sale of electrical household appliances (TEÁOR 4754),
• Retail sale of furniture, lighting equipment and other household articles (TEÁOR 4759)
• Book retailing (TEÁOR 4761),
• Retail sale of paper, stationery, office supplies and printed matter (TEÁOR 476203),
• Retail sale of music and video recordings (TEÁOR 4763),
• Retail sale of sporting equipment (TEÁOR 4764),
• Retail trade of toys (TEÁOR 4765),
• Clothing retail (TEÁOR 4771) activity,
• Retail sale of footwear and leather goods (TEÁOR 4772),
• Retail sale of watches and jewellery (TEÁOR 4777),
• Other m.n.s. retail sale of new goods (TEÁOR 4778),
• Retail sale of second-hand goods in stores (TEÁOR 4779),
• Video cassette and disc rental (TEÁOR 7722) activity,
• Renting of other personal and household goods (TEÁOR 7729),
• Other booking (TEÁOR 7990) activity,
• Gambling and betting activities (TEÁOR 9200), except toto and lottery,
• Repair of consumer electronics (TEÁOR 9521) activity,
• Repair of footwear and other leather goods (TEÁOR 9523),
• Repair of furniture and home furnishings (TEÁOR 9524),
• Watch and jewellery repair (TEÁOR 9525) activity,
• Repair of other personal and household goods (TEÁOR 9529),
• Hairdressing and other beauty treatment (TEÁOR 9602),
• M.n.s. other personal service activities (TEÁOR 9609),
• Retail sale of flowers, wreaths and ornamental plants (TEÁOR 477601),
• In the case of enterprises operating in an educational institution, Other hospitality (TEÁOR 5629) activities,
• Driving education (TEÁOR 8553) activity,
• M.n.s. other education (TEÁOR 8559) activity or
• Activities ancillary to education (TEÁOR 8560)

These main activities shall be entitled to a tax payment allowance and wage subsidy for the month of March 2021.

Exemption from payment of rent

The lessor may not claim the part of the rent for the month of March 2021 from the lessee in the respect of premises owned by the state of the local authority OR a company controlled by the majority of the state of a local authority.

The lessor may not claim the rent in respect of the premises for which the lease agreement was concluded before the entry into force of the government decree and in which the lessee on 3rd March 2021 performed

• miscellaneous retail sale in shops of manufactured goods,
• retail of audio and video equipment,
• retail sale of textiles,
• retail sale of electrical household appliances,
• retail sale of furniture, lighting equipment and other household articles,
• book retail,
• retail sale of stationery,
• retail of music and video recordings,
• retail sale of sporting goods,
• toy retail,
• retail sale of clothing,
• retail sale of footwear and leather goods,
• retail of watches, jewellery,
• other m.n.s. retail sale of new goods,
• retail sale of second-hand goods in stores,
• videotape, disc rental,
• rental of other household items for personal use,
• other reservations,
• gambling, betting activities, except lotteries and lotteries,
• repair of consumer electronics,
• repair of footwear and other leather goods,
• repair of furniture and home furnishings,
• watch, jewellery repair,
• repair of other personal and household goods,
• hairdressing, beauty care,
• m.n.s. other personal services,
• retail sale of flowers, wreaths and ornamental plants,
• in the case of enterprises operating in an educational institution, other hospitality,
• driving instruction,
• m.n.s. other education,
• Complementary to education

Under the existing lease agreement, the lessor shall reimburse the lessee for the rent already paid for March 2021 by 16 March 2021.