Rules for excise tax returns, payment, refunds, and exemption from under the tax liability

The most important information on the general rules for excise tax payment, returns, and tax refund claims

Kulcsszavak: NTCA excise excise tax tax return BEV_J01 BEV_J02 BEV_J03 BEV_J04 tax refund commercial gas oil gas oil used in agriculture engine development

I. Tax assessment and tax returns

 

The taxpayer assesses, submits the tax return, and pays the tax via self-assessment.

 

In case of self-assessment, the tax base and the payable tax has to be determined per calendar month.

 

The National Tax and Customs Administration of Hungary (NTCA) assesses the excise tax payable

 

No tax return has to be filed for still wine and spritzer for which the tax rate is zero.

 

With the exception of termination via winding-up and voluntary liquidation proceedings, the authorised warehousekeeper shall be required to submit a tax return within 30 days of the lapse of the validity of the tax warehouse licence.

 

In case of termination via winding-up or voluntary liquidation proceedings, the provisions of the Taxation Act, the act on public company information, company registration and voluntary liquidation proceedings, or the act on bankruptcy and winding-up proceedings shall be considered governing.

 

For the purposes of information, the NTCA shall send the data to be used as the basis of the tax return to the taxpayer within 10 days of the end of the target month.

 

The taxable person may send any requests for rectification to the NTCA within 5 days of the receipt of such data.

 

Each month, the taxpayer shall pay the difference between the advance tax and the assessed net tax

 

1. Submission of tax returns

 

Excise tax return types:

 

Excise tax returns shall be submitted to the National Tax and Customs Administration of Hungary electronically.

 

Foreign persons may manage their excise issues on paper.

 

If the submitter of the tax return is not required to maintain contact through electronic means, the form may be submitted on paper (mailed or in person).

 

Documents submitted in hard copy form shall be signed by the taxpayer or an authorised representative.

 

If the deadline falls on other than a workday, the deadline will expire on the subsequent workday.

 

The taxpayer may submit only one tax return per occasion and for each calendar month (target period). A return may not encompass more than one target period.

 

If law does not require that the taxpayer proceed in person, the return may be submitted by a legal representative or a person authorised by the taxpayer or such legal representative. The proceedings of the legal representative of a legal entity are considered to be proceedings done in person.

 

Law specifies the subjects and types of representation and authorisation and the method for creating and reporting entitlement.

 

The right of representation has to be notified to the NTCA if the return is to be submitted electronically.

 

As the NTCA can only accept the return submitted electronically if it has registered the submitting party’s right of representation beforehand.

 

The return documents are not available for sale, as domestic persons may only submit those electronically.

 

The General Form-Filling Framework Program (ÁNYK) is available from the NTCA website.

 

The program that runs in the ÁNYK for filling the return and the necessary instructions are available here:

 

2. BEV_J01

 

Tax return for the excise tax and value added tax payable for tobacco products, for refunds of such tax, and for corrections via self-revision.

 

The taxable person obligated to pay excise tax shall submit a return for and pay the net tax amount assessed per each month as the difference between the tax liability incurred and the tax refund right, by the 20th day of the month following each target month.

 

In case of transporting excisable products released for free circulation from another Member State to Hungary for commercial purposes, the taxpayer shall submit the tax return and pay the tax within 5 days of the tax liability having been incurred.

 

Taxpayers who produce or sell tobacco products only shall pay the amount of tax not exceeding HUF 2 billion by the 20th of the second month following the target month.

 

3. BEV_J02

 

Tax return for the excise tax payable for controlled energy products, alcoholic products, beer, still and sparkling wine, other still and sparkling fermented beverages, and intermediate alcoholic products, for refunds of such tax, and for corrections via self-revision.

 

The taxable person obligated to pay excise tax shall submit a return for and pay the net tax amount assessed per each month as the difference between the tax liability incurred and the tax refund right, by the 20th day of the month following each target month.

 

The authorised warehousekeeper shall pay the advance tax by the 25th day of the target month if its tax liability in the same quarter of the previous year had amounted to at least HUF 6 million. The advance tax is equal to one sixth of the tax liability incurred in the same quarter of the previous year.

 

If the authorised warehousekeeper did not pay tax in the year prior to the target year but the tax payable in the first quarter of the target year is expected to be equal to at least HUF 6 million, one sixth of the expected amount of tax is payable as an advance. Advance tax shall be payable in second, third, and fourth quarters if the tax of the previous quarter exceeds HUF 6 million. The advance tax is equal to one sixth of the tax liability for the previous quarter.

 

In case of transporting excisable products released for free circulation from another Member State to Hungary for commercial purposes, the excise licence holding trader shall submit the tax return and pay the tax within 5 days of the tax liability having been incurred.

 

The simplified authorised warehousekeeper shall prepare a settlement, per each product, of the amount of inventory changes and the actual closing inventory in the wine market year, which it shall submit to the vine evaluator no later than 15 August of the year following the wine market year. Simultaneously to such settlement, it shall also prepare and submit its tax return to the NTCA and pay the taxes due.

 

The small wine producer shall prepare a settlement, per each product, of the amount of purchased and self-produced grapes, produced (packaged), stored, and sent still wine, and bottle-fermented sparkling wine, the amount of inventory changes, and the actual closing inventory in the wine market year, which it shall submit to the vine evaluator by 15 August of the year following the wine market year. Simultaneously to such settlement, it shall also prepare and submit its tax return to the NTCA and pay the taxes due.

 

4. BEV_J03

 

Tax return for the fulfilment of the energy and excise tax liability related to energy products, for refunds of such tax, for ex post assessment, and for self-revision.

 

The energy trader, user, producer, and district heating provider specified by law shall submit a return for and pay the net tax amount assessed per each month as the difference between the tax liability incurred and the tax refund right, by the 20th day of the month following each target month.

 

5. BEV_J04

 

Electronic tax return for the excise tax that can be refunded for gas oil used in agriculture and correction via self-revision, and for applying for de minimis aid provided for the cultivation of vineyards and orchards.

 

 

II. Excise tax refunds and exemptions

 

1. Common procedural rules

 

The frequency of tax refunds is in line with the general rules; the claimant may apply for the tax refund

 

General terms for refunds

 

2. Refunds for excise tax paid, and exemption from under the related excise tax

 

Tax refunds for the export of taxed excisable products

 

The person who exports an excisable product is entitled to apply for a refund for the tax paid.

 

Conditions:

 

Tax returns for taxed excisable products that have become unsuitable for consumption and have been destroyed or used for the production of excisable products

 

Conditions:

 

Exempt organisations

 

Conditions:

 

Tax refund limits for excisable products purchased for official purposes

 

Tax refund limits for excisable products purchased for personal purposes

 

Limits on tax refunds for military uses:

 

The tax refund of the supplier specified on the simplified accompanying document (SAD) in the case of transporting excisable products released for free circulation from Hungary to another Member State for commercial purposes

 

Conditions:

 

Mail order traders

 

The mail order trader shall be entitled to a refund of the tax paid if it has paid excise tax in another Member State and has submitted the certificate thereof issued by the competent authority of such other Member State.

 

Tax refunds in case of irregularities

 

The suppliers and mail order traders specified in the SAD are entitled to tax refunds.

 

Conditions:

 

Tax refunds in the case of the use of taxed excisable products

 

Conditions for refunds:

 

The contents of the notification

 

The contents of the records:

 

Tax refunds for products sold as duty-free and repurchased from a passenger

 

The authorised warehousekeeper is entitled to the refund for excisable products sold to a passenger travelling to another Member State and then repurchased from the passenger by the authorised warehousekeeper.

 

The condition for the refund is the availability of the documents issued for sale and repurchase.

 

The document shall include:

 

Tax refunds in the case of the excisable products to be sealed

 

The authorised warehousekeeper and the registered trader or importer are entitled to the tax refund.

 

Conditions:

 

Required documents

 

Tax refunds for passenger transport by rail or railway transit

 

Conditions:

 

Required documents:

 

The limits of the tax refund:

In light of the fact that the refund contains State aid subject to European Commission Decision No SA.46672, it cannot be combined with other forms of State aid or de minimis aid.

 

Tax refunds for gas oil used for floating construction plants

 

Conditions:

 

Rate: HUF 103/litre

 

Required documents:

 

Tax refunds for natural gas used by category M2 or M3 buses operated for urban or inter-city use

 

Conditions:

 

Required documents:

 

Tax refunds for natural gas used by bodies performing state or municipal tasks or other public tasks

 

The right to refund is incurred in connection with the excise tax paid for the gas oil used for transport purposes directly related to the performance of public tasks.

Conditions:

 

Required documents:

 

Tax refunds for commercial gas oil

 

The following qualifies as commercial gas oil:

 

Persons eligible for the refund:

 

A fundamental condition for the right to refund is that the operator/lessee of the vehicle or tractor-trailer be registered by the NTCA.

 

 

The rate of the tax refund:

 

Required documents:

 

The tax refund qualifies as aid provided in the form of an environmental tax discount.

The aid is not available to undertakings in difficulty or to undertakings against which unpaid recovery orders are in effect, as per a previous commission order.

 

Cases of qualified natural gas supply disruptions

 

The natural gas user is the beneficiary of the tax refund right.

 

Conditions for tax refunds:

 

The rate of the available tax refund is HUF 103/litre.

 

Required documents:

 

Tax refunds in connection with engine development

 

Persons involved in developing engines are obligated to notify the NTCA of their activity at least 30 days prior to staring engine development.

 

Limits:

 

Required documents:

 

Tax refunds related to other industrial uses

 

Persons eligible for the refund:

 

 

Required documents:

 

The invoice has to meet the following conditions:

 

Tax refunds for gas oil used in agriculture

 

The agricultural producer is entitled to the tax refund in the case of pursuing the following activities:

 

Conditions for tax refunds:

 

The rate of the tax refund:

 

The conditions for excise tax return for gas oil used for contracted work with machines:

 

The limits of the tax refund:

 

The conditions for applying for de minimis aid

 

Tax refunds by persons pursuing aviation activities for non-private purposes

 

Conditions:

 

Required documents:

 

The intent to purchase gas oil does not have to be reported to the NTCA.

 

In case of a direct exemption, the authorised warehousekeeper shall be exempt from the tax liability if the aviation fuel is provided to aircraft or if the aircraft fuel is decanted from aircraft and transferred to the inventory subjected to the duty-suspension arrangements. The condition for exemption is that the licence holder issue the document, containing the data specified in the excise-related legislation, for the inventory transactions.

 

Tax refunds by persons pursuing commercial shipping activities

 

Conditions:

 

Required documents:

 

As the tax refund contains State aid, it cannot be combined with other forms of State aid or de minimis aid.

 

The intent to purchase gas oil does not have to be reported to the NTCA.

 

Direct exemption: the authorised warehousekeeper is exempted from under the tax liability if the specified gas oil was provided to a ship registered in Hungary or abroad and used for commercial shipping activities, and it issued the document with the data set out in excise-related legislation in connection with the inventory transaction.

 

The tax refund rights of persons operating power plants or district heat providers

 

The condition for the tax refund is the use of the energy product for producing heat and electricity and the heat provided to household energy consumers.

 

Required documents:

 

However, in case of direct exemption, the authorised warehousekeeper shall be exempt from under the tax liability if it uses the energy product

 

The following can be used to certify exemption from under the tax liability:

 

The tax refund rights of persons using energy products in chemical reductions in mineral, electrolytic, and metallurgy processes

 

The condition for tax refund is that the energy product is used in specific processes.

 

Required documents:

 

However, in case of direct exemption, the authorised warehousekeeper shall be exempt from under the tax liability if it uses the energy product in chemical reductions in mineral, electrolytic, and metallurgy processes.

 

The following can be used to certify exemption from under the tax liability:

The act on excise taxes specifies that an excise fine shall be imposed for violations of the obligations (related to the Excise Tax Act, the Act on the Rules of Tax Administration, and the Taxation Act).

If the violation causes economic losses to the central budget, the rate of the excise penalty shall range from two to five times the amount of such economic losses, but at least HUF 30 000.

Economic losses are tax revenue losses and unauthorised tax refunds by way of violations of the obligations set out in the Excise Tax Act and its implementing decree.

BEV_J01,

BEV_J02,

BEV_J03,

BEV_J04, using the provided forms

(https://www.nav.gov.hu/nav/letoltesek/nyomtatvanykitolto_programok)

The NTCA directorate with territorial jurisdiction shall proceed in the excise tax cases of domestic persons.

 

The NTCA Large Taxpayer Directorate (KAVIG) has sole competence for proceeding in cases involving the excise taxes of foreign persons.

The NTCA Appellate Directorate (appeals shall be addressed to the Appellate Directorate but submitted to the Directorate proceeding in first instance)

If you have any additional questions, please do not hesitate to contact us at any of the contact points below.

 

Web:

Email:

Phone:

 

The NTCA Hotline and the ÜCC are available Monday to Thursday 8:30 am to 4:00 pm and Friday from 8:30 am to 1:30 pm.

 

*A client ID or Identification by Telephone with a Partial Code (RKTA) is required for using the system. If you do not have a client ID, you can request one using the TEL form, which you can submit to the NTCA in person or using the KÜNY repository. If you are using the ÜCC on someone else’s behalf, you also need to submit an EGYKE datasheet.

(https://www.nav.gov.hu/nav/letoltesek/nyomtatvanykitolto_programok)

 

In person:

Find a customer service centre: https://nav.gov.hu/nav/ugyfelszolg

 

 

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Act LXVIII of 2016 on Excise Tax

Government Decree No 45/2016 of 29 November 2016 on the implementation of certain provisions of Act LXVIII of 2016 on Excise Tax

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