Changes in the EKAER system as of 1 January 2021

From 2021 onwards, the EKAER reporting obligation only arises in connection with products previously named risky goods, meaning that the distinction between risky and non-risky product groups no longer apply.

The Decree introduces a new terminology naming the previously considered “risky product” (“kockázatos termék” in Hungarian) as “notifiable product” (“bejelentésköteles termék” in Hungarian). Only notifiable products fall under the scope of the new EKAER regulation, however, based on the classification rules of the Commercial Customs Tariff, the list of the notifiable goods is exactly the same compared to the list of the previously known risky goods.

The Decree allows taxpayers to voluntarily report goods which are not considered as notifiable goods, however, in this case, ensuring the correctness of the data reported is the taxpayer’s responsibility. In case of voluntary reporting, risk security provision obligation should not arise.

The risk security deposit should not be provided by reliable taxpayers and in case of notifiable goods with 5% VAT rate.

So far the scope of the EKAER reporting obligation covered the transports performed by toll-vehicles (over 3.5 tons maximum authorized mass of trucks, tow trucks and combination of vehicles comprising of such vehicles and their towed trailers and semi-trailers). As of 2021, the regulation will apply to transports performed by any kind of vehicles. According to the new rules, only the missed reporting and the erroneous reporting of the amount or value data might result in a default penalty up to 40% of the net value of the goods transported. If the report contains errors not related to the amount or the value data (e.g. typo in the plate number, etc.), then the general default penalties as defined in the Hungarian Act on Rules of Taxation should be applied, which is capped at HUF 500,000 (approx. EUR 1,400).

We would be happy to assist you in analysing whether the above would affect your Company. Should you have any questions on the above, please do not hesitate to contact us.

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BDO Hungary Tax team

E-mail: tax@bdo.hu