HUNGARY – New Intra-Corporate Transfer Permit Available
Effective 30 September 2016, Hungary has introduced new work and residence permit rules for intra-corporate transfer (ICT), transposing into national law European Union (EU) Directive 2014/66 “on the conditions of entry and residence of third-country nationals in the framework of an intra-corporate transfer”.
ICT Permit
The new ICT residence permit is available to third-country nationals transferred to work in Hungary within the same group of companies as managers, specialists with suitable professional qualifications, or trainees with a university degree. The foreign employee must have worked for their sending company for at least six months (three months for trainees). The ICT permit is issued for a maximum duration of three years for managers and specialists, and one year for trainees, and is renewable up to the relevant maximum duration.
Intra-EU Mobility
- A holder of an ICT permit issued in Hungary will be able to work in another EU member state for a company of the same group, for stays of up to 90 days in a 180-day period, without a separate work permit, although the host country may require a notification. For stays of more than 90 days, a “mobile ICT permit” for that country may be required.
- A holder of an EU ICT permit issued in another EU member state can work at a company of the same group in Hungary for up to 90 days without obtaining a separate permit. A notification must, however, be filed with the authorities.
- For assignments of more than 90 days in Hungary, a holder of an EU ICT permit issued in another EU member state must apply for a long-term mobility permit. This permit cannot be issued for longer than the validity of the original EU ICT Permit from the first EU member state.
Background
Directive 2014/66/EU of 15 May 2014 “on the conditions of entry and residence of third-country nationals in the framework of an intra-corporate transfer” aims to create a consistent EU-wide system for non-EU nationals sent on assignment within a group of companies to EU Member States. Please see our previous alerts on the transposition of the EU ICT Directive in Netherlands, Bulgaria and Spain.
Action Items
- Employers intending to transfer third-country nationals to Hungary from outside the EU within the same group of companies should consult an immigration expert for advice on the process.
