Tax fraud is a serious criminal offense punishable by several years of imprisonment. If you or a loved one is involved in such a case, obtaining legal representation without delay is essential. At every stage of the criminal proceedings, it is crucial to have a well-prepared defense attorney by your side.
Since 2012, tax fraud has been defined as a distinct criminal offense under Section 396 of the Hungarian Criminal Code. This provision consolidates several earlier economic crimes committed to the detriment of the state or EU budget—such as tax evasion, smuggling, and fictitious invoicing.
2. Use of Shell Companies in Imports
3. Fictitious Invoicing
4. Unlawful Use of Subsidies
A person commits tax fraud under Section 396 of the Criminal Code if they:
It is important to note: actual damage is not required for criminal liability - even an attempted unlawful claim may be punishable.
Severity of Offense | Value of Damage | Penalty |
|---|---|---|
Basic offense | HUF 500,000 – 5 million | up to 3 years |
Aggravated offense | HUF 5 – 50 million (significant damage) | 1 – 5 years |
Serious aggravated offense | HUF 50 – 500 million (particularly high damage) | 2 – 8 years |
Most serious offense | over HUF 500 million (especially significant damage) | 5 – 10 years |
The defense attorney’s primary tasks are to:
Important to know: Tax fraud cases often involve multiple suspects, and certain aspects of the alleged conduct may have been committed by others—such as an accountant, managing director, or agent.
Even the mere suspicion of tax fraud can have serious consequences—such as frozen bank accounts, asset seizures, and criminal proceedings.
If you are subject to a tax audit, NAV (National Tax and Customs Administration) investigation, or criminal proceedings, consult a qualified criminal defense attorney as soon as possible. An effective legal strategy may determine the outcome of the case early in the proceedings.
Need to get in touch? Request a consultation today. Discretion, determination, professional protection – by your side. Contact our office and leverage our expert assistance!
