The Hungarian Tax Authority has released an expanded version of the 24GLBADO form, marking another important milestone in the Hungarian tax filing process related to the Global Minimum Tax. Importantly, this is not a completely new tax return form: the 24GLBADO form was already familiar to the affected corporate groups, as it had previously been used to fulfill their filing obligations concerning the Qualified Domestic Minimum Top-up Tax (QDMTT) advance payment.
The key change is that the form now includes the data fields required for filing the final tax return. As a result, it can now be used not only for reporting QDMTT advance payments but also for filing and settling top-up tax liabilities.
What is the 24GLBADO form used for?
The expanded form can now be used to comply with three different filing obligations:
- filing the Qualified Domestic Minimum Top-up Tax (QDMTT) advance payment return,
- filing the Qualified Domestic Minimum Top-up Tax (QDMTT) return, and
- filing the Income Inclusion Rule (IIR) top-up tax return.
Who is affected?
The form applies to Hungarian taxpayers that:
- are required to pay and report a Qualified Domestic Minimum Top-up Tax (QDMTT) advance payment or QDMTT liability; or
- are parent entities of multinational enterprise groups (MNE groups) or large-scale domestic groups that are subject to the Income Inclusion Rule (IIR).
Compliance with these obligations does not necessarily require each group member to file separately. Under the applicable rules, a designated local entity may act on behalf of all domestic group members and fulfil the relevant filing obligations on their behalf.
What does this change mean in practice?
The structure of the expanded form makes it clear that Global Minimum Tax compliance involves more than the calculation of the tax liability itself. It also requires extensive group-level data reporting.
The new structure includes the following elements, among others:
- details of the Ultimate Parent Entity(ies) (UPEs),
- declarations regarding the applicable accounting standard (Hungarian GAAP, IFRS or other accounting standards),
- currency selection,
- QDMTT advance payment and final QDMTT return data,
- IIR tax liability information,
- exemption declarations.
Based on the expanded data requirements, the preparation of the final tax return is expected to require close cooperation across several corporate functions, particularly tax, accounting and group reporting teams.
Where and how can the form be submitted?
The 24GLBADO form may only be submitted electronically. The return can be completed and submitted through the Online Form Filling Application (ONYA) and may also be submitted by an authorized representative, provided that the relevant authorization has been duly registered with the tax authority in advance.