🔍 The key: the place of supply rule.
If your business activities are carried out in Hungary (or if the goods/services are used or consumed here), there is a high chance that you will have VAT obligations in Hungary.

💡 Common scenarios where VAT registration is required:

📌 Sale of goods from Hungarian territory (e.g. from a warehouse)
📌 Provision of electronic or digital services to Hungarian customers
📌 Movement of own goods into Hungary
📌 Distance selling (e.g. via an EU-based webshop to Hungarian buyers)
📌 Chain transactions where your company is one of the intermediaries
📌 Construction or real estate-related activities
📌 Participation in exhibitions, trade fairs or local sales events
📌 Creation of a fixed establishment or VAT-relevant presence in Hungary

⚠️ Please note: Not all cases where Hungary is the place of supply require VAT registration. In many cases, the reverse charge mechanism applies, and there is no need for the foreign company to register—but this must be assessed case by case.

📝 Before initiating VAT registration, it’s helpful to clarify the following:

✅ What is the core business activity of the company?
✅ Is the activity linked to a specific project or will there be a longer-term presence in Hungary?
✅ What is the expected project duration – short-term or over one year?
✅ Estimated number of invoices to be issued (monthly/annually)?
✅ Will the activity involve construction or real estate services?
✅ How much time will company representatives spend in Hungary?
✅ Do you plan to issue invoices under a Hungarian VAT number?

🤝 What to expect when working with us:

The MGI-BPO team of tax experts will:
🔹 assess your specific business activities and transactions,
🔹 handle the full VAT registration process and take care of monthly compliance, VAT returns and reporting,
🔹 and provide ongoing support to ensure full compliance with Hungarian tax laws.

🌍 Need VAT registration in multiple countries?
Through the MGI Worldwide international network, we can also assist with VAT registration and compliance across the EU.