VAT in Hungary and VAT rates

VAT Basics

Hungarian VAT Rates by goods and services.

The standard VAT rate is 27%. The standard VAT rate generally applies for all goods and services for which no exemption, 0% or one of the reduced VAT rates is foreseen.

The first reduced VAT rate is 18%. This reduced rate applies to certain food products, and entry to open-air music events.

In addition, there is a reduced VAT rate of 5%. This reduced rate applies, in general, to certain basic food products, pharmaceuticals, books, periodicals and newspapers, internet services, hotel accommodation, restaurants, or the sale of immovable property for the purpose of habitual residence under certain conditions, among others.

Supplies and services at 0% are the standard supplies, such as exports or intra-Community supplies.

Finally, some supplies are VAT exempt, such as health and social care, education, financial and insurance transactions and real estate exemptions.

For a precise confirmation of the VAT rate applicable to your product or service in Hungary, we recommend that you contact us.

Foodstuff

5% and 18%
Water supplies

27%
Pharmaceutical products

5%
Medical equipment for disabled persons

5% and 27% - reduced rate applies particularly for medical equipment for blind people
Children´s car seats

27%
Passenger transport

27%
Books

5%
Books on other physical means of support

5%
Newspapers

5%
Periodicals

5%
Admission to cultural services (theatre, etc)

18% and 27%
Admission to amusement parks

27%
Pay TV / cable

27% - 5% reduced rate applies for Internet services
TV licenses

27%
Writers / composers

5% and 27%
Hotel Accommodation

5%
Restaurant and catering services

5% - except from alcoholic beverages
Restaurants

5% - except from alcoholic beverages
Medical and dental care

Exempt and 27%
Repair of shoes and leather goods

27%
Repair of clothing and household linen

27%
Hairdressing

27%