TBSZ Tax Savings in Hungary 2026 – How Much Do You Actually Save?
Your investments are eating 28% in annual tax? Hungary's Long-Term Investment Account (TBSZ) is one of the simplest and most effective legal ways to reduce this burden dramatically.
Updated:
- How much do I save in tax with a TBSZ over 5 years: On HUF 5M at 7% annual return over 5 years, a TBSZ saves approximately HUF 619,187 in investment tax compared to a regular account.
- What is the TBSZ tax rate in 2026: For TBSZ accounts opened after 2025: 3-year lock-in: 18%; 5-year lock-in: 0% (fully tax-free).
- How many TBSZ accounts can I open: One TBSZ per year per provider.
Work it out for your own situation: TBSZ Calculator – free, no registration required.
What is a TBSZ?
A TBSZ (Tartós Befektetési Számla) – "Long-Term Investment Account" – is a special securities account in Hungary that provides investment tax relief when you keep your funds invested for at least 3–5 years.
| Lock-in period | TBSZ tax rate (opened after 2025) | Regular account |
|---|---|---|
| 0–3 years (broken early) | 28% (full) | 28% |
| 3–5 years | 18% (10% PIT + 8% social tax) | 28% |
| 5+ years | 0% – FULLY TAX-FREE! | 28% |
Concrete savings examples
HUF 5M, 7% return, 5 years
💰 Tax saving
Regular account after 5 years: ~HUF 6,393,572. TBSZ: ~HUF 7,012,759 (0% tax at 5 years). Saving: HUF 619,187 purely from tax!
HUF 2M + HUF 50,000/month, 7% return, 5 years
💰 Tax saving
Regular monthly contributions compound tax-free inside a TBSZ, delivering meaningful savings especially over longer periods.
Who should use a TBSZ?
A TBSZ is ideal for anyone investing in stocks, ETFs, bonds or investment funds who has a 3–5+ year investment horizon. It is not a product itself – it is an account type that wraps your existing investments in a tax-efficient structure. Available at all major Hungarian brokers and banks (OTP, Erste, K&H, Lightyear etc.).
How does the TBSZ work exactly?
The Long-Term Investment Account (TBSZ) is a special securities or cash account whose greatest advantage is that the returns earned on it can be withdrawn at a reduced rate or even completely tax-free at the end of the lock-in period. The essence of the system is that you open the investment in a given calendar year (the collection year), then hold the money in the account for the following five years.
Taxation depends on the length of the lock-in. If you withdraw at the end of the three-year lock-in, you pay only a 10% personal income tax on the return instead of the standard 15%. If you wait for the full five-year lock-in, the return becomes completely tax-free — you pay zero tax on the profit. This is a significant advantage for long-term savings.
The collection year and lock-in period
The timing of the TBSZ often causes confusion. The year the account is opened is the collection year, during which you can freely deposit money. On the last day of the collection year, the deposit period closes and the lock-in begins. The three-year reduced withdrawal is possible at the end of the third year after the collection year, and the tax-free five-year withdrawal at the end of the fifth year.
For a TBSZ opened in 2026, this means 2026 is the collection year and full tax exemption is reached at the end of 2031. If you need the money earlier, you can withdraw at the three-year point, the end of 2029, with a 10% reduced tax. After the collection year closes, you cannot add new money to this account, but you can open a new TBSZ every year.
What can you invest in through a TBSZ?
The TBSZ is a flexible instrument through which many types of investment can be held. These include shares, bonds, investment funds, government securities, and ETFs. Hungarian retail government securities, combined with the TBSZ tax advantage, form an extremely efficient, low-risk savings vehicle.
It is important to know that within the TBSZ you can freely rearrange investments without this constituting a taxable event. If, for example, you sell a share within the account and buy another, you do not have to pay tax on the profit immediately — taxation occurs only when the money is withdrawn, depending on the lock-in period. This allows active portfolio management with tax deferral.
Frequently asked questions
What happens if I withdraw before the lock-in ends?
If you withdraw before the three-year lock-in, the entire return is taxed at the normal 15% as if there had been no TBSZ. You can withdraw the deposited capital at any time, but the benefit is lost.
Can I open several TBSZ accounts at once?
You can open one TBSZ per year with a given provider, but you can hold accounts with different providers in parallel and open a new one each year. This is the basis of "laddering."
Do I need to declare the TBSZ return?
The account provider withholds and reports any tax at withdrawal, so you have nothing to do. With a tax-free five-year withdrawal there is no tax, hence no filing obligation.
Worked calculation example
Suppose in 2026 you open a TBSZ and deposit 5 million HUF, invested at an average annual return of 7%. Over five years, compounding grows the investment to roughly 7 million, so the return is about 2 million. On a normal securities account, this 2 million return would incur a 15% tax of 300,000 HUF. With a three-year TBSZ withdrawal it drops to 10%, or 200,000. But if you wait for the full five-year lock-in, the entire 2 million return is tax-free — zero tax. This example shows how a simple five-year commitment can save 300,000 HUF in tax alone.
Calculate your TBSZ tax savings
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