Regulatory updates - Hungary

Hungary has recently amended two decrees to enforce energy and gas suppliers to issue only e-invoices.

Initially, energy and gas suppliers were supposed to start issuing only e-invoices from January 1, 2025.

However, after the amendments to Government Decree No. 273/2007, which mandates energy traders to issue only e-invoices (Section 21/B), and Government Decree No. 19/2009, which mandates gas suppliers to issue exclusively e-invoices (Section 115/E), such entities must now comply with this requirement as of July 1, 2025.

The issuance of electronic invoices shall be done toward non-retail users, meaning entities that are not private consumers (such as businesses).

Mandatory e-invoicing

Government Decree No. 273/2007 mandates energy traders to issue only e-invoices to non-residential users (Section 21/B), which are Hungarian taxpayers participating in largely B2B economic activity.

Government Decree No. 19/2009 mandates gas suppliers to issue only e-invoices to non-residential users (section 115/E).

The new requirements require business entities engaging in transactions with energy and gas suppliers to be capable of receiving e-invoices and archiving them electronically, per the latest legislation. 

With no explicit requirements on formats for electronic invoicing mentioned, it is assumed that previous formats acceptable by the Hungarian Tax Authority, such as those conforming to EN-16931 standards, will continue to be sufficient.

The main purpose of the data reconciliation procedure for the Hungarian Tax Authority (NAV) is to regularly compare the data from the real-time invoice reporting system with the information on the VAT returns, in particular the M sheets, submitted by companies.

In case NAV discovers discrepancies in the data provided by the taxpayer, a request for clarification will be sent to that taxpayer. The taxpayer has 15 days from the request's receipt to clarify discrepancies; otherwise, a fine of 300,000 HUF (ca. 730 EUR) will be paid. 

This new procedure will be in place from January 1, 2025. The amendment can be seen here, in section 133.