Hungary changes VAT rules on car sales

Thu 18th Apr 2013

The latest Hungarian VAT Act makes provision for changes on the VAT liabilities on cars, as follows:

  1. Sales of cars with non-allowable VAT will now be VAT exempt if there is no VAT on the sale of the vehicle.
  2. Companies leasing cars on long-term (longer than one year), finance leases may offset tax against the motor vehicle tax.