Hungary Vat

VAT Rates and Compliance in Hungary

The Standard VAT Rate

The standard VAT rate in Hungary is 27%, which is the highest in the European Union. This rate applies to most goods and services.

The Reduced VAT Rate

A reduced VAT rate of 18% applies to certain products, including:
• Certain milk and dairy products
• Products made from cereals

VAT Compliance

Businesses in Hungary must comply with VAT regulations. This includes registering for VAT, filing VAT returns, and paying VAT due. Failure to comply with VAT regulations can result in penalties.

One-Stop-Shop (OSS)

Hungary participates in the One-Stop-Shop (OSS) pan-EU VAT return for distance selling. This allows businesses to file VAT returns for all EU countries through a single portal.