Hungary to change VAT rates on catering and food from 1 January 2017

29 June 2016

As of 1 January 2017, the current 27% VAT rate on catering supplied in restaurants and bars in Hungary will be reduced to 18%, with a further reduction to 5% from 1 January 2018.

In addition, from 1 January 2017 the VAT rate on certain basic foodstuffs such as poultry, eggs and fresh milk will be reduced to 5%, as well as internet services which will see a reduction to the 18% VAT rate.