TAX LAW CHANGES 2022
Regulation of teleworking
The COVID situation, which has been going on for almost two years, has forced the clarification of the detailed rules related to teleworking, therefore, the issues that were previously regulated by government decrees, by amendment were introduced in Act XCIII of 1993 on Occupational Safety and Health.
The concept of teleworking has been extended compared to the previous years. In addition to those who work from home with a laptop or other computing device, teleworkers who do not use such devices outside the employer's premises (for example, those who assemble parts or sew clothes at home or other off-site locations) should also be considered teleworkers.
The law also regulates the distribution of work between the places of work, according to which the employee may work in the office or on the employer’s premises for a maximum of one third of the working days in the year in question, and must work at the telework site on the other days. If the employer wishes to derogate from this, an agreement should be made in writing with the employee, and specific internal rules (policies) should not be sufficient.
Unless otherwise provided in the telework agreement, the employer's right to give instructions may only cover the definition of the tasks to be performed by the employee and may not set the working time. Unless otherwise agreed, the employer may monitor the employee's work remotely by means of a computer device. In exercising the right of supervision, the employer must act in accordance with the employer's instructions, i.e. he must not unreasonably harass his employee or impose a disproportionate burden on the employee or his dependants.
The rules on health and safety at work have also been clarified. Work may be carried out on the employee's own equipment under a telework agreement, provided that this equipment is suitable for safe work. If the work is not carried out on a computing device, the place of work must be agreed separately and work may only be carried out at a telework location that has been previously certified by the employer as suitable from an occupational safety and health point of view. Compliance with health and safety rules may also be monitored with the worker's prior authorisation.
An important change is that the rule on the reimbursement of expenses, previously published in a government decree, has been included in the Annex to the Personal Income Tax Act, according to which an employee with a telework agreement may be granted a non-taxable reimbursement of expenses equal to 10% of the current minimum wage if the employer does not reimburse the employee for internet and overhead costs. In addition, it is important to note that this allowance is only payable for working days spent teleworking (if the employee spends 1-2 days a week in the office, those days should be excluded).
Updated: 10 December, 2021
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Should you have any questions regarding the latest tax law changes, the tax experts of VGD Hungary will be pleased to assist you.
This newsletter provides general information and does not constitute tax advice.
