Hungary 2011


Alessandro Pasut | Hungary

Act on Accounting. The Act on Accounting introduced some amendments for financial years starting in 2011 which, however, will also be applicable for financial years starting in 2010.
The law specifies the definition of irrecoverable receivables. In order to qualify a receivable as irrecoverable because of the high costs of collection, the proposed amendment refers to an additional type of court assisted collection procedure.
When fulfilling the general conditions on size, companies limited by shares and the Hungarian branches of non-Hungarian companies can also choose to prepare a simplified annual report from 2011. Non-calendar year companies can also choose to prepare a simplified annual report.
The law repeals the condition that the impact of exchange rate changes upon the year-end revaluation of balance sheet items is to be recorded only if the effect is significant. A simplification is that the gain or loss in the value of participations or debt securities denominated in foreign currencies can be determined without filtering out the foreign exchange effects.
VAT. The amendments to the VAT law will allow for a retroactive reduction in the tax base not only upon non-payment by the customer (current rule) but also upon cancelling the transaction for other reasons.
Reverse charge. The law extends the reverse charge procedure to services provided by taxpayers under liquidation procedure or insolvency proceedings if the value of the services exceeds HUF 100,000. Currently, the reverse charge procedure only applies to certain supplies of goods provided by these taxpayers.
VAT Refund. Under the new VAT refund procedure for foreign taxpayers, EU businesses will have to electronically file their refund applications for VAT incurred in other EU Member States with the tax authority of the country where they are established. Following technical difficulties with the implementation of the new system, the deadline for filing 2009 refund applications has been extended to 31 March 2011.


Tags: , ,

Lascia un Commento

L'indirizzo email non verrà pubblicato. I campi obbligatori sono contrassegnati *


È possibile utilizzare questi tag ed attributi XHTML: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>