Hungarian Zero Vat Invoices – Accountancy quick guide

June 19, 2014

VAT is short for value added tax, which is also known as sales tax in some countries. In Hungary, VAT is 27%, and whenever you buy something in a shop for example, it is always already added to the price you see, so you do not have to start counting each time how much something will cost. When you start your company in Hungary (which will immediately receive an EU VAT number as well), and issue your own invoices towards your clients, you will charge VAT only towards individual (retail) buyers or corporate EU-based buyers who are not registered for VAT. However, if you are an international trader, you may not charge VAT at all.

Zero VAT for international trade

Zero VAT invoices are invoices where you do not charge your buyers VAT. They can be issued in two cases:

  1. when your buyer is a corporate entity outside the EU;
  2. when the buyer is a non-Hungarian EU company with a valid EU VAT number.

In the latter case, it is your responsibility to check whether the buyer’s VAT number is valid, and to indicate this on the invoice. If your buyer is an individual (based anywhere in the world) or a Hungarian company, VAT must always be charged. There are some types of sales (e.g. real estate) that are not considered cross-border, and as such cannot be exempted from VAT.

If you do not know for sure whether you have to add VAT to your invoice or not, please always consult your accountant first. If you issue an unjustified zero VAT invoice, you will have to pay the VAT content of the invoice anyway, and it can be quite costly.

Ask for assistance from our accountancy department, or contact our office on +36.1.317.8570 or

Contact us

  • Privacy Policy
    In order to contact you and provide you a relevant service proposal we handle your data based on our Privacy Policy.
    I want to subscribe to the blog so I get regular updates on topics related to business immigration, citizenship application, business services and other services.
  • This field is for validation purposes and should be left unchanged.
Donate 1+1% of your personal income tax in Hungary
Don’t forget to donate your 1% personal income tax

The deadline to report your personal income tax in Hungary is coming up: 21 May 2024, Tuesday. At the same time, you can also donate 1+1% of your taxes. This costs you nothing, and you can support a good cause.

Read More
Tax returns in Hungary
Tax returns season coming up in Hungary

Tax returns season is starting soon in Hungary. Drafts created by the Tax Authority become available next week; the deadline for submission is 21 May 2024.

Read More