Online invoice data reporting
Real-time online invoice data reporting means that the taxable persons must report their invoices to the Hungarian Tax Authority (NAV) immediately. This also applies to modifying/rectifying invoices and annulment invoices.
As of 1st April 2021, the reporting scope of affected tax subjects broadened. It will be necessary to provide real-time online invoice data report about all transactions, related to Domestic, EU, non-EU taxable persons /entities, including reverse VAT transactions and the transactions of taxpayers not registering for VAT, or private individuals.
The real-time online invoice data reporting obligation applies to all taxable persons registered in Hungary, i.e. to domestic companies as well as the domestic tax numbers of foreign companies (registered for tax purpose). The obligation also apply to foreign distance sellers (web-shops) if they perform B2B os B2C sales in Hungary. Foreign webshop exempted from providing real-time invoice data in case of their sales in Hungary if they register in the EU OSS as of 1st July 2021.
Choose our Tax consulting service
However, the data reporting obligation also applies to the domestic taxable persons who outsourced invoicing to abroad, for example, to a service centre and invoicing actually takes place abroad. In this case, the taxpayer must ensure fulfillment of the invoice data reporting obligation, as the technology of data reporting allows for the forwarding of data to NAV from abroad.
Domestic recapitulative statement
By submitting the domestic recapitulative statement or 65M-sheet (or M-sheets) the VAT Act prescribes that the taxable person for VAT purposes is subject to data supply on the invoices related to purchase of goods or use of services for which he intends to exercise the right to deduct VAT in his VAT return for the tax assessment period concerned.
In respect of the invoices for which the taxpayer exercises the right to deduct VAT, the statutory data content of the invoices must be reported per invoice. On the M-sheet as part of the VAT return, the supplier's tax number, the tax base, the amount of output VAT, the delivery date recorded in the invoice, and the serial number of the invoice to be indicated.
As of 1 July 2020, the threshold of HUF 100,000 per invoice will be eliminated regarding M-sheets, also. From that date, regardless of the amount, the supplier of goods and services subject to VAT is liable to submit a domestic recapitulative statement if they exercise the right to deduct VAT on the basis of the invoice certifying the performance of the transaction or the payment of the advance.
