New rules for the mandatory contents of invoices

As of January, the relevant provision of Act CXXVII of 2007 on Value Added Tax applicable to the mandatory information to be stipulated on invoices is changed. Previously the law stipulated that in cases when the amount of VAT payable by the purchaser of the goods / recipient of the service exceeds HUF 1,000,000, and provided that the seller of the goods / the service provider is a resident business entity in Hungary, or has a permanent address or habitual place of residence in Hungary, the invoice had to indicate the purchaser’s/recipient’s tax number. This threshold is not lowered from HUF 1,000,000 to HUF 100,000.  The new rule shall be applied to invoices issued on or after 1 January 2017. Issuers failing to comply with the new rule may be fined, and the recipient of a non-compliant invoice will fail to meet the technical pre-condition set for tax deduction.