Summary

• B2G mandate: No Business-to-Government (B2G) eInvoicing mandate exists, but since 1 November 2019, all public sector entities are required to receive and process structured eInvoices compliant with the European standard (EN 16931)[2], as mandated by the Act LXXXIII of 2018 amending Act CXLIII of 2015 on public procurement, which transposes Directive 2014/55/EU. Businesses supplying goods or services to public authorities are encouraged to issue structured eInvoices compliant with the European standard EN 16931[3], because this guarantees that public authorities must accept these eInvoices.
• B2B and B2C mandates: There are no current business-to-business (B2B) or business-to-consumer (B2C) eInvoicing mandates.
• eInvoicing standard: The European eInvoicing standard EN 16931 has been adopted in Hungary by public authorities. All public contracting authorities in Hungary are required to accept and process electronic invoices that comply with the European Standard for eInvoicing for all public procurement contracts above EU Public Procurement thresholds [4]. Private suppliers are not legally required to issue eInvoices under EN 16931.
• Operating model for B2G eInvoicing: Hungary uses a centralised platform (NAV Online Invoicing System), and while it does not mandate the use of eInvoices, the submitted XML files can serve as eInvoices if properly formatted.
• Use of CIUS and Extensions: The system is fully compliant with the European eInvoicing standard, although no CIUS or extensions are used. Regular technical updates ensure accuracy, automation, and data protection.
• VAT Real-time reporting system: A real-time reporting system for eInvoicing is available.  Since 2018, a real-time invoice reporting obligation (RTIR) has been in place, requiring all VAT-registered taxpayers—including foreign entities—to report invoice data electronically and without human intervention to the National Tax and Customs Administration (NAV). This obligation was extended in 2021 to cover all B2B, B2C, intra-community, and export transactions, effectively replacing previous periodic VAT reporting.
• Monitoring mechanism: Hungary has a mechanism to monitor eInvoicing developments.

Highlights 

Hungary mandated eInvoicing for electricity and natural gas supplies to non-private individuals beginning on 1 July 2025 (originally 1 January 2025), as outlined in Government Decree 273/2007 and Government Decree 19/2009. The framework does not require eInvoices to be issued in any specific format, nor does it require a specific method for the exchange of the electronic invoice. Therefore, electricity traders, distributors, transmission system operators, and natural gas distributors are allowed to use any format and exchange method currently accepted by the Hungarian Tax Authority.

B2G 

No Business-to-Government (B2G) eInvoicing mandate exists, but since 1 November 2019, all public sector entities are required to receive and process structured eInvoices compliant with the European standard EN 16931[5], as mandated by Act LXXXIII of 2018 amending Act CXLIII of 2015 on public procurement, which transposes Directive 2014/55/EU. This rule applies when public authorities pay suppliers for goods or services provided through formal procurement contracts above the thresholds provided in the Public Procurement Directives[6]. 

In 2021, the Act was amended to expand the Hungarian real-time invoice reporting (RTIR) requirement to include intra-community transactions. This RTIR obligation mandates that any taxpayer registered for VAT purposes in Hungary, who issues an invoice with a VAT amount of HUF 100,000 or more, must report the eInvoice data directly and automatically to the Hungarian tax authority (NAV). This obligation also requires companies to adapt their invoicing processes and Enterprise Resource Planning (ERP) systems to produce the XML file that must be transmitted to the Hungarian tax authorities’ website without human intervention.

B2B 

There is no business-to-business (B2B) mandate. However the tax authorities can acquire VAT-related data in real-time through the NAV system.  From 1 January 2021, all B2B and B2C transactions must be reported to Hungarian tax authorities in real-time, regardless of the transaction amount.

B2C

There is no business-to-consumer (B2C) mandate. However the tax authorities can acquire VAT-related data in real-time through the NAV system.  From 1 January 2021, all B2B and B2C transactions must be reported to Hungarian tax authorities in real-time, regardless of the transaction amount.

Status on the implementation of the European eInvoicing standard 

The European standard EN 16931 has been adopted by contracting authorities. The format required for sending eInvoice data is XML and fully compliant with the European Standard.  Additionally, businesses should have their systems ready to send standard audit files (SAF) when required by the tax authority. This information will include (i) general accounting, customers, suppliers and VAT, (ii) accounts receivable and (iii) accounts payable data.

Operating model for eInvoicing 

Hungary utilizes a centralized platform at the national level managed by NAV for handling eInvoices.

Sub-central contracting authorities and economic operators are required to establish a prior written agreement detailing the technical specifications, including EDI data, system, and format to be used for processing eInvoices.

Additionally, economic operators must provide a summary report to the contracting authority, detailing the eInvoices issued within the month. With the assistance of a technology provider, data exported from the Enterprise Resource Planning (ERP) system is processed and converted into the format required by NAV, adhering to NAV's specified requirements. More technical information on the NAV Online Invoicing System can be found on the NAV website, along with the technical information of the currently supported version.

Use of CIUS and Extensions

The system is fully compliant with the European eInvoicing standard, although no CIUS or extensions are used. Regular technical updates ensure accuracy, automation, and data protection.

VAT Real-time reporting system

A real-time reporting system for eInvoicing is available.  Since 2018, a real-time invoice reporting obligation (RTIR) has been in place, requiring all VAT-registered taxpayers—including foreign entities—to report invoice data electronically and without human intervention to the National Tax and Customs Administration (NAV). This obligation was extended in 2021 to cover all B2B, B2C, intra-community, and export transactions, effectively replacing previous periodic VAT reporting.

XML files used for real-time reporting can be sent to customers as eInvoices through the tax authority. Issuers must mark the document as an eInvoice, generate a hash value, and include it in the XML. These files must contain all RTIR-required data and full invoice details. The RTIR obligation applies to all VAT-registered businesses, including non-residents, for transactions with Hungary as the place of supply. Reports must be submitted per transaction at the time of invoicing or within 24 hours via the tax authority's portal, fully automated from accounting or ERP systems.

Monitoring mechanism

Currently, there is no monitoring mechanism for eInvoicing in Hungary.

Next steps 

The Hungarian government has introduced a B2B eInvoicing requirement for companies operating in the electricity and natural gas sectors, starting from 1 July 2025. According to the new rules, electricity and natural gas traders, distributors, and transmission system operators will be obligated to issue B2B invoices exclusively in electronic form. The reform is intended to streamline invoicing practices and enhance tax compliance.

The legislation does not prescribe any specific format or content standards for the eInvoices, implying that any structure and transmission method currently accepted by the Hungarian tax authority may be used.

[1] The European Standard on EU law sets minimum harmonised rules for tenders whose monetary value exceeds a certain amount and which are presumed to be of cross-border interest. More information can be found via: https://single-market-economy.ec.europa.eu/single-market/public-procurement/legal-rules-and-implementation/thresholds_en [2] The European Standard on eInvoicing (EN 16931) defines a common format and data model for electronic invoices, ensuring they are structured, machine-readable, and compatible across EU systems. [3] Ibid.2 [4] The European Standard on EU law sets minimum harmonised rules for tenders whose monetary value exceeds a certain amount and which are presumed to be of cross-border interest. More information can be found via: https://single-market-economy.ec.europa.eu/single-market/public-procurement/legal-rules-and-implementation/thresholds_en [5] The European Standard on eInvoicing (EN 16931) defines a common format and data model for electronic invoices, ensuring they are structured, machine-readable, and compatible across EU systems. [6] Ibid 1.

Last updated:  Jul 07, 2025 15:27