Lawmakers pass law on VAT cut for new home building

Budapest, December 15 (MTI) – Lawmakers on Tuesday approved a bill to reduce value added tax (VAT) on newly-built homes from 27 percent to 5 percent between 2016 and 2019.

The law passed in a vote of 154 in favour, 8 against and 7 abstentions.

Submitted by Economy Minister Mihaly Varga and Cabinet Chief Antal Rogan, the law states that a 5 percent VAT rate should apply to homes to be built between 2016 and 2019, mainly applying to blocks of flats built in housing parks with an area of less than 150 square meters each or to standalone homes smaller than 300 square meters.

Source: http://mtva.hu/hu/hungary-matters