The Value Added Tax (VAT) rate in Hungary is 27%. Nevertheless, two reduced VAT rates are applied: 5% and 18%. Certain goods and services benefit from lower VAT rates. The 5% rate applies to certain types of milk, poultry meat, fish fillets and other fish meat, fresh eggs, medicines, books, magazines, specific large live animals, district heating services, instrumental live music by artists at private events, new residential properties, restaurants, and internet services. The 18% rate may apply to dairy products, milk products, corn, starch, commercial accommodation services, and outdoor service providers. VAT returns must be submitted monthly, quarterly, or annually. The submission deadline is the 20th day of the month following the given period. The annual VAT return must be submitted by February 25th of the year following the given tax year.