Real-time reporting

Real-time reporting sends transaction data to the tax authority at the very moment of issuance.

Definition

Real-time reporting refers to transmitting the data of a transaction to the tax administration at the moment the invoice is issued, or within a very short delay.

It replaces or complements periodic filing by giving the tax authority near-immediate visibility over commercial flows.

How it works

In practice, as soon as an invoice is issued, a structured message carrying the key tax data is sent to a public platform.

• Typical data: party identifiers, taxable base, VAT rate and amount, date.
• The "real-time" delay is defined by each regulation (immediate, a few days, etc.).

Good to know

Real-time reporting is a pillar of continuous transaction controls (CTC) and of the Digital Reporting Requirements under ViDA.

Depending on the country, "real time" ranges from instantaneous (Hungary) to a few days, but the shared goal is to narrow the VAT gap.