VAT Consultancy - The VAT treatment of international supplies of goods

A lot may depend on the certification of delivery in case of tax-free intra-Community supplies of
goods. In the life of most businesses involved in international transactions, VAT constitutes the biggest
tax risk, since the Hungarian VAT rate is very high, and the applicable rules are rather complicated.
Factors such as who is the buyer of the goods sold, for what VAT number that buyer requests the
invoicing, to what address is the delivery ordered, whether the goods are invoiced in a simple
supply, or it is a part of a chain transaction or a triangular deal, who ordered the transportation,
etc. all make a difference. Furthermore, documentation also has a special significance, and can
make or break the tax-free treatment of the transaction. In other words, no matter how well we
know the rules and how correctly we treat the supply of goods from the point of view of VAT, if we
fail in the course of the certification of delivery.

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