VAT is collected in Hungary at a rate of 27 % from the year 2014. Reduced rate of 18 % is collected for hotels, restaurants, foods and 5 % is collected for other services like books, medicine etc., This is the country that has the highest Sales Tax Rate currently. A loss of 1 billion Euros has been faced by Hungary in the year 1992 for food sales tax fradulence.
VAT is collected in Hungary at a rate of 27 % from the year 2014. Reduced rate of 18 % is collected for hotels, restaurants, foods and 5 % is collected for other services like books, medicine etc., This is the country that has the highest Sales Tax Rate currently. A loss of 1 billion Euros has been faced by Hungary in the year 1992 for food sales tax fradulence.
Find the VAT price and net price in Hungary (GST % is 27) for an amount of 25000 Ft
Solution :
GST % = 27
Amount = 25000
Step 1 :
GST Price = (25000 * 27 ) / 100
= 6750 Ft
Step 2 :
Net Price = 25000 + 6750
= 31750 Ft
Hence the VAT Price is 6750 Ft and Net Price is 31750 Ft
Solution :
GST % = 27
Amount = 25000
Step 1 :
GST Price = 25000 - (25000 * ( 100 / (100 + 27)))
= 25000 - (25000 * 0.79)
= 25000 - 19685.04
= 25000 - 19685.04
GST Price = 5314.96 Ft
Step 2 :
Net Price = 25000 - 5314.96
= 19685.04 Ft
Hence the VAT Price is 5314.96 Ft and Net Price is 19685.04 Ft
