Facebook image
RSM Hungary
HUENDE
RSM Film and MovieDigitalEnterprise valuationTaxAccountingVATConsultancyLegalPayrollAuditRSMReal EstateFamily and Wealth...
Close
Save
Dániel Sztankó, RSM Hungary, Head of Indirect Tax Services
Dániel Sztankó
Tax

EKAER number without reporting obligation – one uncertainty less!

In accordance with the regulation currently in force, it cannot be determined unambiguously regarding the fulfilment of the EKAER (Electronic Trade and Transport Control) reporting obligation whether any sanctions apply if an EKAER number is requested for a movement of goods involving public road transport, which would be exempted according to the regulation from the obligation of reporting in the EKAER system.

For the application of the regulation in practice, the legislator gave the advice that if there is any uncertainty regarding the EKAER reporting obligation, it is better to request an EKAER number (as there is no harm in that) than not to report the transport at all.

However, the general sanctioning rules of the Act on the Rules of Taxation provide for default penalty in the case of inadequate reporting. Inadequate fulfilment of the EKAER reporting obligation may imply a default penalty of up to HUF 200 000 in the case of private individuals and HUF 500 000 in the case of other taxpayers. In addition, the specific EKAER sanctioning rule also mentions inadequate reporting.

The new provision in the proposed amendment of the Act on the Rules of Taxation, which provides that the Hungarian Tax and Customs Authority may issue EKAER numbers for the taxpayers defined in the executive decree of the Act, that are not subject to the regulation but have to report the data defined therein as if they were, is most likely intended to eliminate this uncertainty. To facilitate the application of law, with this provision, the legislator most likely intends to release taxpayers acting in good faith from the sanctions relating to EKAER reporting.

    EKAERElectronic Road Transportation Control SystemTaxtax advisory
    More blog post
    Have you read?
    Related posts
    More blog post
    Dániel Sztankó, RSM Hungary, Head of Indirect Tax Services

    Dániel Sztankó

    Director, Indirect Tax services

    Dániel Sztankó has been the VAT expert of RSM Hungary Zrt., has supported the compliance of our fiscal representation team's clients in domestic and international VAT services since 2014. He was a manager at an international advisory network in Hungary specialising in VAT and indirect taxes from 2008 and then in Singapore from 2012, prior to which he had worked for a London based tax advisory firm. He began his professional career with the tax authority where he worked as a tax specialist in VAT for more than 5 years.
    As an advisor to global market players, he has focused on the regulation and application of European, Asian and international value-added taxes and indirect taxes for more than a decade. He has acquired experience in a number of sectors, such as energy, telecommunication, technology, logistics, pharmaceuticals, financial services, and real estate, both in Hungary and abroad. Beside consultations, Dániel is a regular lecturer of business and professional conferences focused on Hungarian VAT, online invoice reporting and EKAER legislation.

    International Tax Representation

    We provide International Tax Representation services to companies who carry out taxable transactions abroad without having to set up a permanent establishment.
    Services