What is the interest withholding rate between Hungary and Israel?
The Hungary-Israel 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 — Hungary has 21 such treaties in its network.
Network Comparison
Hungary
Rank 12 of 31 active treaties (lowest rate = #1)
Lower rates with: France (0%), United Kingdom (0%), Ireland (0%)
Higher rates with: Italy (0%), South Korea (0%), Netherlands (0%)
Israel
Rank 1 of 24 active treaties (lowest rate = #1)
Higher rates with: South Africa (0%), Switzerland (5%), Czech Republic (5%)