What is the interest withholding rate between Germany and Hungary?
The Germany-Hungary tax treaty reduces the withholding rate on interest payments to 0%. This means interest paid between residents of these two countries is exempt from withholding tax at source. This is particularly beneficial for cross-border debt financing and bank deposits. The 0% rate still requires proper documentation — it does not apply automatically. Interest is fully exempt — Germany has 27 such treaties in its network.
Network Comparison
Germany
Rank 13 of 49 active treaties (lowest rate = #1)
Lower rates with: United Kingdom (0%), Greece (0%), Hong Kong (0%)
Higher rates with: Ireland (0%), Italy (0%), Japan (0%)
Hungary
Rank 5 of 31 active treaties (lowest rate = #1)
Lower rates with: Switzerland (0%), China (0%), Cyprus (0%)
Higher rates with: Denmark (0%), Spain (0%), Finland (0%)