The amendment prolongs the application of the beneficial 5% VAT rate of the sale of new residential real estates by another 2 years, and also contains transitional rules for delayed constructions. Accordingly, the beneficial VAT rate is applicable in case of constructions when the performance date is between 1 January 2025 and 31 December 2028, if either
As of 1 January 2023 works in connection with the functional change of real estate will be added to the group of building and construction works with reverse charge. Furthermore, those works will also belong here when no construction permit or announcement to the authorities is required, but a different authority’s authorization is necessary to carry out the construction works. The amended rules are applicable in case of transactions completed after 1 January 2023, except if the date of tax assessment precedes 31 December 2022 based on Art. 60 of the VAT act with respect to the recipient of the service. In case of advance payments made before 31 December 2022 the recipient of the service has a tax payment obligation based on the new rules with respect to the price reduced with the advance.
The amendment extends the application time of reverse charge until 31 December 2026 in case of agricultural products, metal products and greenhouse gas emission allowance.
The amendment makes it clear that the charged VAT amount is required to be indicated in HUF currency on the invoice where the amounts are otherwise charged in another currency only if the supply of production or performance of service is taxable in Hungary.
In the future data has to be provided to the Tax Authority electronically about those computer-generated receipts that where not generated via a cash register. The specific rules of authorization, distribution, operation and maintenance of such equipment are not yet available, this is expected in the near future based on the current amendment’s authorization.
Links
[1] https://www.fal-con.eu/sites/fal-con.eu/files/styles/colorbox_width_1000px/public/image/b-14_47.jpg?itok=U9xtsfn5