Hungary drops VAT on internet services to 5%

Sat 23rd Dec 2017

From 1 January 2018, internet services provided to consumers will be charged at the reduced VAT rate of 5%. Such services are currently liable to the 18% reduced VAT rate. Until Jan 2017, the VAT rate was the standard rate, 27%.

The subsidy to boost internet adoption will cost the government an estimated €70m per annum.

Click for free Hungarian VAT info