Significance
In Hungary, as in the other member states of the European Union
(EU), sales tax is levied according to the principle of value added
tax (VAT). VAT is a tax principle that can be found worldwide. VAT
or similar taxes are currently in force in around 150 countries.
The VAT receipts of the EU member states thus accounted for
21.4% of all tax receipts. For many national budgets, VAT
is the most important source of income. In this way, it has taken
the foremost place in terms of tax revenue, ahead of income tax.
Given the fiscal importance of VAT, measures aimed at securing VAT
revenues are politically highly sensible.
When collecting taxes, the state largely relies on companies.
VAT is an indirect tax that is intended to charge final
consumption, but is levied on companies through
self-declaration. The companies act as tax collectors for the
account of the state and in the interests of the state treasury.
They have to report the start of and change in
