Translation:We are having lunch and we are talking here.
Is there a way in which I know whether the "itt" belongs only to "having lunch" or to both "having lunch" and "talking"? My translation "We are having lunch here and are talking" was not accepted so I assume the scope of the "itt" is the whole sentence. How do I know this? Also, if I look at the correct solution "We are having lunch and we are talking here" I would have expected the "itt" to go in front of the "beszélgetünk", especially if "we" is repeated. Then again, I am now wondering whether any of this actually makes a difference for the meaning of this sentence...
The course doesn't seem to pay attention to such subtleties, but if "itt" belonged only to "ebédelünk", there should be a comma after the verb: "Mi itt ebédelünk, és beszélgetünk." In the current form of the sentence, "itt" refers to both verbs, so I'd say the best translation would be "We are having lunch and talking here."
But yes, there's hardly any difference in the actual meaning of the sentence, whichever word "itt" belongs to.
The word order would suggest that the action is here, and not anywhere else, but if that isn't the intention, then the sentence is at best somewhat clumsy.
My Hungarian friend tells me that the lack of context makes this difficult to translate. Perhaps "We are here having lunch and chatting" would be the best default position. 1GRB suggests, in Russian, "We are having lunch and we are chatting" with no mention of "here", which rather begs the question: how necessary is "here", given that it would be problematic to be anywhere else!
I just remarked the similar pronounciation of the Russian and Hungarian words, I didn't translate the whole sentence.
I do not know much about word order but noticed that Duo prefers using 'here' at the end of the sentence. If you think it sounds right in the middle as well then report it, especially if the Hungarian origin used it that way too.