In force 🚨 Action required Rate change

Hungary zero-rates prescription-only medicines from 1 September 2026

This page records one dated change. For the rules in Hungary as they stand today, see the Hungary guide →

Jurisdiction
Hungary
Tax
VAT
Change type
Rate change
Status
In force
Impact
Action required
Announced
13 August 2026
Effective
1 September 2026
Instrument
HU-LAW-XL-2026
Authority
Magyar Közlöny (Official Gazette of Hungary)
Systems
ERP, Invoicing, Tax engine, POS
Verified
Fetched from official source · high confidence
Who this affects

Pharmaceutical manufacturers, wholesalers, importers and pharmacies supplying medicines in Hungary, and compounding pharmacies preparing magistral formulations for human use. The relief follows the prescription requirement rather than the substance, so the same product can fall at 0% when dispensed against a prescription and remain at the standard rate when sold over the counter. Over-the-counter medicines, and magistral preparations for veterinary or cosmetic purposes, are excluded.

What to do

Set the Hungarian VAT rate on prescription-only human medicines and human magistral preparations to 0% for supplies from 1 September 2026. Over-the-counter medicines and veterinary or cosmetic magistral preparations are unaffected — do not apply the zero rate to them.

ERPInvoicingTax enginePOS

The change

Hungary reduced the VAT rate on prescription-only human medicines and human magistral preparations from 5% to 0%, moving them out of Annex 3 (the 5% reduced-rate list) of Act CXXVII of 2007 on Value Added Tax and into a new Annex 3/B carrying the zero rate. Act XL of 2026 (2026. évi XL. törvény) was adopted by Parliament on 11 August 2026 and published in Magyar Közlöny 2026/112 on 13 August 2026, applying from 1 September 2026. Over-the-counter medicines and veterinary or cosmetic magistral preparations are not covered.

What changed in detail

Act XL of 2026 (2026. évi XL. törvény) amends Act CXXVII of 2007 on Value Added Tax in two steps. Section 2 provides that Annex 3/B of the VAT Act is amended in accordance with Annex 2 of the amending Act; Annex 2 then adds rows 2 and 3 to the Annex 3/B table:

  • Medicines available only on medical prescription (kizárólag orvosi rendelvényhez kötött gyógyszerek)
  • Magistral preparations for human medicinal use (humán gyógyászati célú magisztrális készítmények)

Annex 3/B is Hungary’s zero-rate schedule. Both categories previously sat in Annex 3 at the 5% reduced rate.

Parliament adopted the Act on 11 August 2026 and it was published in Magyar Közlöny 2026/112 on 13 August 2026, applying from 1 September 2026. It is therefore already in force.

What it means

An EU member state moving an entire category of medicines to a zero rate is a substantial step, and this one arrived without being widely trailed — it was found by reading the gazette rather than by following the announcement cycle.

The line to read carefully is the scope. Because the relief attaches to the prescription requirement and not to the molecule, pharmacy systems have to derive the rate from the dispensing route, not from the product master. A medicine sold OTC in one pack size and on prescription in another will carry two different VAT rates in the same shop.

Being already in force also means any supply made from 1 September onwards that was invoiced at 5% needs correcting rather than planning for.

Proof

Ez a törvény 2026. szeptember 1-jén lép hatályba.

This Act enters into force on 1 September 2026.

Magyar Közlöny 2026. évi 112. szám — 2026. évi XL. törvény — Magyar Közlöny (Official Gazette of Hungary) · captured 7 September 2026
Screenshot of Magyar Közlöny (Official Gazette of Hungary) captured 7 September 2026, showing the quoted passage Source snapshot of the official page. Open full size ↗
Kizárólag orvosi rendelvényhez kötött gyógyszerek

Medicines available only on medical prescription.

Magyar Közlöny 2026. évi 112. szám — 2026. évi XL. törvény — Magyar Közlöny (Official Gazette of Hungary) · captured 7 September 2026
Screenshot of Magyar Közlöny (Official Gazette of Hungary) captured 7 September 2026, showing the quoted passage Source snapshot of the official page. Open full size ↗

Sources

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