Around a quarter of a million individuals will have to supplement the draft personal income tax returns prepared by the NAV, which have been available since the beginning of March, with income and payment obligations that are not included in the NAV's records. In particular, parents with children who, although entitled, have not received, or have only partially received, the amount of their income tax refund, should act quickly, Moore Hungary pointed out.
Each year you must complete the draft tax return for self-employed persons, private individuals paying VAT and self-employed persons who are not subject to small tax. There is also an increasing number of people who, partly by taking advantage of the technological opportunities of recent years, are dividends and capital gains from abroad will benefit from. They will also have to complete the draft tax return offered. In their case, the tax authorities may not yet have the data, but thanks to international data reporting, information is constantly coming in from foreign tax authorities. These will be processed sooner or later, so individual taxpayers can expect an audit if the income is not included in the tax return.
„Also not included in the draft return income from the rental of real estate to an individual or a foreign legal entity, the amount of any self-employed or non-self-employed activity remitted by the foreign sponsor, or other income credited by the voluntary fund, for example, because in this respect the fund is not a paying agent” - pointed out Andrea Kocziha, tax advisory partner at Moore Hungary.
Lack of information could not transfer the refunds due to foreigners, who are entitled to benefits in Hungary, but have not claimed family benefits in Hungary during the year and have not submitted the VISSZAADO form to the tax authorities.
Of course those individual taxpayers can also get a refund the benefit they are entitled to, who may not have received the full amount of the rebate due to incorrect information provided by the payer or who do not fully agree with the amount of the tax refund paid. In addition, the return must also be revised if, during the year, the individual did not claim the family tax allowance, or other benefits, or you have claimed benefits but the amount of the benefits varies.
The necessary data are to be completed by 20 May at the latest, however it is not worth waiting until the last minute to claim a refund, because within 30 days of the completion of the return, the tax authority will pay the individual the amount of the legitimate refund. Taxpayers whose amended tax return contains an amount of HUF 1 000 or more in column c) of line 80 of form 21SZJA-C in the amount of HUF 1 000 or more do not have to wait even 30 days, provided that there are no obstacles to processing the return and the individual has no public debts, as the NAV will make this transfer out of turn.
The draft tax returns prepared by the NAV are available to individual taxpayers with a client account at eszja.gov.hu.
A return can be amended in two ways until 20 May 20221) the NAV's supplementing the draft tax return, or 2) the personal income tax return for 2021 - Form 21SZJA - by sending in. The latter is mainly the case if the individual does not have a client account, or has one but cannot log in despite repeated attempts because they have forgotten the password or even the username. In such a case, the password can be renewed in person at any NAV central customer service or at any government office.
Moore Hungary
Moore Global, which started in a London office more than 110 years ago, is now one of the world's leading consulting and audit networks. Present in over 100 countries worldwide, the network has more than 600 independent offices and over 30,000 employees. The group's turnover for the last financial year exceeded $3 billion.
Moore Global's services will be directly available in the domestic market from March 2021. Moore Hungary has been offering a full range of consulting services in the fields of business, financial, tax, accounting and auditing with a team of almost 100 experts since its inception.
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