VAT Guide for Construction & Real Estate in Hungary
Construction & Real Estate operating in Hungary charge the standard VAT rate of 27% (reduced rates: 5%, 18%). Registration becomes mandatory at HUF 12,000,000 (~€31,000), returns are filed monthly, quarterly, or annually, and cross-border B2B services are generally reverse-charged to the customer.
| Standard rate | 27% |
| Reduced rates | 5%, 18% |
| Registration threshold | HUF 12,000,000 (~€31,000) |
| Filing frequency | Monthly, quarterly, or annually |
| Currency | HUF |
| In force since | 01 Jan 2012 |
| Last verified | 01 Sept 2026 |
Official source
Nemzeti Adó- és Vámhivatal (NAV)Figure verified on 01 Sept 2026. Every rate on this page is traceable to the authority above.
Worked examples
Domestic sale in Hungary
You invoice a customer based in Hungary for HUF 1,000 of construction & real estate work.
Add 27% VAT: HUF 270. Total invoiced HUF 1,270, declared in your monthly, quarterly, or annually return.
Cross-border B2B inside the EU
A VAT-registered business in another member state buys the same HUF 1,000 service and supplies a valid VAT number.
Invoice at 0% under the reverse charge, state "Reverse charge — Article 196 VAT Directive", and report the sale on your EC Sales List.
Sales to consumers in another EU country
You sell HUF 12,000 per year to private customers in other member states.
Past the €10,000 distance-selling threshold you must apply the destination rate and declare the sales through the One-Stop Shop.
Late filing exposure
Your monthly, quarterly, or annually return is filed after the deadline.
Late payment interest at double the central bank base rate. Default penalty up to 50% of the tax shortfall.
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Check my Tax Health ScoreCompliance checklist
- Confirm whether you are above HUF 12,000,000 (~€31,000)
- Register with Nemzeti Adó- és Vámhivatal (NAV) before your first taxable supply
- Apply 27% on domestic sales and the reverse charge on EU B2B
- Validate every EU customer VAT number in VIES and keep the proof
- File monthly, quarterly, or annually and archive invoices for the statutory period
- Real-time invoice data reporting to NAV
- Highest standard VAT rate in the EU (27%)
FAQ — Construction & Real Estate in Hungary
When must construction & real estate register for VAT in Hungary?
Registration is required at HUF 12,000,000 (~€31,000). Voluntary registration below that level is possible and usually worthwhile when you buy a lot of taxable inputs, because it lets you reclaim input VAT.
Which VAT rate applies to construction & real estate in Hungary?
The standard rate is 27%, with reduced rates of 5% and 18% for specific categories. Applied since 2012-01-01, last verified against Nemzeti Adó- és Vámhivatal (NAV) on 2026-09-01.
How often do I file VAT returns in Hungary?
Monthly, quarterly, or annually. Late payment interest at double the central bank base rate. Default penalty up to 50% of the tax shortfall.
What must appear on an invoice in Hungary?
Real-time invoice reporting to NAV (tax authority) for B2B invoices above HUF 100,000. All invoices must be reported electronically.
Do I charge VAT to business clients in other EU countries?
No. For B2B services within the EU the reverse charge applies: invoice at 0%, quote both VAT numbers, add the reverse-charge mention and report the transaction on your recapitulative statement. Always validate the customer's VAT number in VIES first.
What is specific to Hungary for my sector?
Real-time invoice data reporting to NAV · Highest standard VAT rate in the EU (27%) · Local business tax (IPA) in addition to VAT
Disclaimer : This tool is provided for informational purposes only and does not constitute professional tax advice. Consult a qualified tax advisor for decisions regarding your tax situation.Source : EU VAT Directive 2006/112/EC
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