Several VAT rates are used: it has been long overdue in the case of food, the reduction of VAT in hospitality has not really been thought out in detail, and the reduced VAT rate of the Internet is rather a political will than an economic decision. The reporting obligation concerning online billing is significantly tightened and the use of persons authorized to accept service shall also be reported.
The revenue value limit of tax exempt status is increased to HUF 8 million. If the tax-exempt taxpayer exceeded the valid value limit of HUF 6 million in 2015, then he can still choose to be tax-exempt in 2017.
A real property built on the basis of a simple report shall be considered a new real property for a term of 2 years following the date of issue of the official certificate of the completion of construction.
It is obligatory to indicate the tax number of the buyer on invoices if the amount of the charge VAT reaches or exceeds HUF 100,000. This value limit was HUF 1 million in 2016, therefore on invoices issued in 2016 with the fulfillment date in 2017 the rules valid in 2016 shall still be applied.
The VAT rate of Internet provision service is reduced to 18 percent. The beneficial rate may be applied if the date of the issue of the invoice and the date of tax payment are in 2017.
The VAT rate of poultry, poultry offal, egg and fresh milk is reduced to 5 percent. The VAT rate of UHT and ESL milk remains 18 percent.
The VAT rate of hospitality in restaurants is reduced to 18 percent in 2016 and 5 percent in 2018, except the turnover of intoxicating beverages.
Services related to the construction of real properties subject to simple reporting will also fall in the scope of reverse charge VAT.