If the amount of input VAT charged and deductible on a taxable persons acquisitions in a given return filing period (including the amount of input tax incurred and deductible arising in previous periods within the term of limitation) exceeds the amount of output tax on the taxable person's supplies, the taxable person may, subject to the fulfilment of certain conditions, reclaim the negative difference in its VAT return. In the case of monthly return filing taxpayers, the negative difference must reach 1 million forints, for quarterly return filing taxpayers, it must years 250 thousand forints and for annual return filing taxpayers, it must reach 50 thousand forints in order for the right to reclaim to be available.
The reclaim may be requested in the form of a disbursement or as a credit to the taxpayer's tax current account (or as a combination of the two).
Deductible VAT arising after 1 January 2016 may only be declared for deduction in the current tax return in the year in which the right to tax deduction becomes available and in the subsequent calendar year and deductible VAT arising in prior periods may only be applied by way of self-revision.