Hungary VAT Calculator (2026) — Add or Reverse VAT
Hungary's standard VAT rate is 27%, with reduced rates of 5% and 18% on certain goods and services. Use the calculator below to add VAT to a net price, or reverse a VAT-included gross price to find the net amount.
How to use this calculator:
- Adding VAT — enter a net (pre-VAT) price, pick "Add VAT to net price," and the calculator applies Hungary's rate to show the VAT amount and gross total.
- Reversing (removing) VAT — enter a gross price that already includes VAT, pick "Remove VAT from gross price," and the calculator divides by 1 + the rate to isolate the net price and the exact VAT paid.
Understanding Hungary VAT
Hungary charges a standard VAT rate of 27%, alongside reduced rates of 5% and 18% for specific categories of goods and services. Highest VAT rate in the world
Basic foodstuffs, internet, and restaurant services at 18%; medicine, books, and district heating at 5%.
Hungary's 27% standard rate is the highest VAT rate in the world.
VAT registration threshold
20,000,000 HUF
EU distance-selling threshold
€10,000/year (EU-wide, applies once combined cross-border B2C sales exceed this)
Bloc
European Union member
Why Reverse VAT Calculation Matters
Invoices usually show only the VAT-included gross price, so separating revenue from VAT collected — for bookkeeping, expense claims, or cross-border comparisons — means working backward from that total. Dividing by (1 + rate) isn't the same as subtracting the rate, which is why the calculator above handles it exactly.
History & How the Rate Is Built
Hungary introduced VAT in 1988 as part of its late-communist-era economic reforms. The standard rate was raised from 25% to 27% in 2012, making Hungary's rate the highest not just in the EU but in the world.
Hungary's exceptionally high VAT rate is a deliberate policy choice to lean heavily on consumption tax revenue, and the country was also an early adopter (2018) of mandatory real-time B2B e-invoice reporting to the tax authority, aimed at closing the VAT compliance gap that high rates can otherwise widen.
Business Use Case: Registering for VAT in Hungary
A Hungarian retailer must report B2B invoice data to the tax authority in real time under rules introduced in 2018 — a direct response to VAT fraud risk that tends to rise alongside a very high standard rate like Hungary's 27%.
Real-World Example
A Ft 100.00 net price in Hungary at the standard rate of 27%:
- VAT amount: Ft 100.00 × 27% = Ft 27.00
- Gross price: Ft 100.00 + Ft 27.00 = Ft 127.00
Hungary VAT Compliance & Registration
Domestic businesses in Hungary generally must register for VAT once annual taxable turnover exceeds 20,000,000 HUF. Below that threshold, small businesses can often trade without charging VAT, though voluntary registration is usually available. For cross-border EU sales, the €10,000 distance-selling threshold and the One-Stop Shop (OSS) apply regardless of Hungary's domestic threshold — once total EU-wide B2C sales exceed €10,000, VAT is charged at the buyer's country rate and reported through a single OSS return.
Frequently Asked Questions — Hungary VAT
What is the VAT rate in Hungary?▾
What is the VAT registration threshold in Hungary?▾
How do I remove VAT from a Hungary price?▾
Do I charge Hungary VAT rates when selling from another EU country?▾
Is Hungary in the EU VAT area?▾
References & Sources
Methodology: standard and reduced VAT rates are cross-checked against the European Commission's official VAT rates page and Tax Foundation's 2026 tables. All EU member states must apply a standard rate of at least 15% and follow the EU VAT Directive's rules on reduced-rate categories — non-EU countries on this list set VAT/GST policy independently.
Rates last verified January 2026. VAT rates and thresholds are set by national legislation and can change — always confirm current figures with Hungary's national tax authority before invoicing. This tool is for estimation and educational purposes only and is not tax, legal, or accounting advice.
Jordan Hayes
Verified AuthorPersonal Finance Content Strategist
Jordan is a personal finance content strategist with 9+ years writing about mortgages, retirement, tax strategy, and budgeting. Every guide is cross-referenced with IRS publications, Federal Reserve data, and CFPB guidance to make complex calculations accessible. Editor at CalculatorApp.me.
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Tax-rate data, review & limitations
Jurisdiction: Hungary. Effective date: January 1, 2026. Reviewed by CalculatorApp.me editorial staff on July 26, 2026; next scheduled review: October 26, 2026.
Rates are reference estimates, not tax advice. Local rules, exemptions, filing status, and effective dates can change the amount due.
Primary sources
- European Commission Taxes in Europe database
- Tax Foundation, 2026 VAT Rates in Europe