HU Value-added tax (VAT) Rates Hungary — Value-added tax (VAT)

General VAT Rate Other Rates Local Currency
27% 18%, 5% Forint (HUF)

Hungary's general VAT rate is 27%, with other rates including 18% and 5% that can apply to certain transactions. The Value-added tax (VAT) is administered by the Ministry for National Economy (www.kormany.hu/en/ ministry-for-national-economy) in Budapest.

Visitors to Hungary can qualify for a VAT refund on all purchases made for export - learn more about Hungary VAT refunds here.

Hungary has special reduced VAT rates on the following items:

18% reduced VAT rates on: basic foodstuffs; hotel
5% reduced VAT rate on: medical: books; domestic heating.

Hungary is a member of the European Union (EU) Member State trading bloc, which may affect international VAT collection and regulations.

Hungary's consumption tax is called the Value-added tax (VAT), locally known as Általános forgalmi adó, which was introduced in January 1988.


Hungary VAT rates for 2017

Standard
27%
Reduced
5%, 18%
Other
Exempt

Hungary VAT number format

Businesses in Hungary that are required to collect tax will be issued an identification number. Tax identification numbers can be verified with the Ministry for National Economy, and will follow a certain format. The VAT number format is 12345678-2-34.


Hungary VAT return periods

Businesses in Hungary that are required to collect tax from consumers must file regular tax returns with the Ministry for National Economy in Budapest. Hungary's VAT return periods are:

Quarterly
General
Monthly
Newly registered taxpayers, large taxpayers and VAT groups
Annual
Small taxpayers with no EU VAT number in at least the third year of registration

Hungary Value-added tax (VAT) Thresholds

These are the revenue thresholds at which businesses in Hungary are required to start collecting and remitting tax.

Registration
Every taxable person is required to register
Distance selling
EUR35,000 per year
Intra-Community acquisitions
EUR10,000 per year (for taxpayers with special taxable status)

Recovery of VAT by non-established businesses

Non-established businesses are small, unincorporated businesses that sell taxable goods and may consist of a single individual, or several. Non-incorporated businesses in Hungary are required to collect taxes from the consumer.


Hungary VAT Refunds

Hungary has a VAT refund program that allows tourists and others to receive a refund of any Hungary VAT paid on goods purchased in Hungary that are being exported from the country.

The minimum purchase amount needed to claim a VAT refund is €55001.00 Euros (which would yield a VAT refund of about €14850.27). SalesTaxHandbook has detailed information about Hungary's VAT refund program:

Learn More About Hungary VAT Refunds

HU Value-added tax (VAT) Rates Hungary Tax Sources & Citations

  • EN: Hungary Value Added Tax
  • RU: НДС Венгрия
  • CN: 匈牙利 增值税
Note: This page is intended to be a simple overview of Hungary's consumption tax structure, is provided as-is, and is not legal advice. Please let us know if any of the Hungary tax information on this page is incorrect or out of date.
Citations:
  1. Hungary Ministry for National Economy (www.kormany.hu/en/ ministry-for-national-economy)
  2. Ernst & Young global VAT tax study, Hungary (updated 2017)

  3. ← Back to World VAT Rates
** This Document Provided By SalesTaxHandbook **
Source: http://world.salestaxhandbook.com/hu-hungary