Hungary has exempted (no penalties) foreign e-commerce sellers from the April 2021 obligation to submit B2C live invoices via the RTIR real-time reporting system. This is provided they opt to use the upcoming OSS return, part of the 2021 EU ecommerce package reforms effective 1 July 2021.
Hungary introduced live reporting via its KOBAK reporting portal in July 2018 for B2B transactions only. It has always applied to both resident and non-resident Hungarian VAT registered businesses. There was initially a reporting threshold of HUG 100,00 until June 2020 when it was set at zero.
Live invoice reporting effectively means invoices should be registered on the day they are raised in the accounting system. There is no requirement send them to the National Tax and Customs Administration (NAV) in advance for preapproval and so the system is not an e-invoice regime as operated in countries like Italy and much of South America.
EU Continuous Transaction Controls reforms
EU VAT in the Digital Age reforms include a channel for harmonised Digital Reporting Requirements (DRR) and Continuous Transaction Controls (CTC) by EU states. This grew from the 2020 Tax Package proposals for a fairer and more efficient EU tax regime.