Articles

After the extensive audit wave in 2021, the tax authorities have started a new wave of tax audits regarding the different exemptions of payment of wage withholding tax.

The Belgian Tax Authorities announced that the deadline for filing the VAT return for September/Q3 2022 is exceptionally extended from 20 October 2022 to 25 October 2022. However, if the VAT return contains a refundable VAT credit, the deadline for filing the VAT return is 24 October 2022. The VAT payment deadline is not extended and remains 20 October 2022. The reason for the ...

Recent developments in the field of VAT include the revised VAT refund procedures applicable as from 1 July 2022 and a circular concerning the extension of the 6% VAT rate in relation to demolition and reconstruction.

The VAT-concept of fixed establishment through an affiliated entity was subject to judgement in the Berlin Chemie case ( C-333/20 of 7 April 2022) by the Court of Justice of the European Union (hereafter: CJEU). This concept is decisive for the place of supply of services and triggers many questions in practice and, accordingly, creates uncertainties to the VAT position of taxable persons. In this news item, we summarize the key aspects of the Berlin Chemie case and subsequently reflect on the current interpretation in Belgium

Royal Decrees for reduced VAT rate for electricity, gas, solar panels and heaters, and mouth masks

The Belgian Tax Authorities published Circular 2022/C/31 (dated 17 March 2022) concerning a temporary tolerance in the context of Covid-19 for the VAT deductibility of mixed-use cars (see NL / FR). This tolerance concerns the application of the ‘semi-presumptive’ method which can be applied to estimate the business use of cars. The Circular reinforces the tolerance provided for calendar year 2020 (NL / FR) and extends it to calendar year 2021.    

The Belgian Council of Ministers took several decisions concerning the VAT legislation on 18 March 2022. These decisions are related to the Covid-19 pandemic as well as to the rising energy prices. Most importantly, the decisions include the following: Mouth masks and hydroalcoholic gels: The Belgian Council of Ministers approved a draft Royal Decree which extends the applic ...

In view of the dramatic situation in Ukraine, the Belgian Tax Authorities announced a temporary tolerance regarding the VAT consequences of donations to Ukrainian citizens (see: NL / FR). Accordingly, businesses that donate goods which are normally intended for sale, will not have to adjust their VAT deduction related to these goods. To prevent abuse, the donations must be made ...

The VAT rate for electricity is reduced from 21 percent to 6 percent for residential consumption in the period between 1 March 2022 and 30 June 2022. The reduced rate will be automatically applied by the electricity supplier for consumers with a “residential” or “non-professional” contract. Hereby decisive is whether the consumer shared an enterprise number with the supplier. If an enterprise number is shared, the reduced VAT rate does not apply and remains 21 percent. The Belgian Tax Authorities published an FAQ for more detailed information on 28 February 2022.

Comme nous l’avons abordé dans un récent article, "Incitants fiscaux pour l’installation de bornes de recharge", le Gouvernement a récemment mis en place divers incitants fiscaux en vue d’encourager les entreprises et les particuliers à investir dans des bornes de charge électriques. Ces incitants font l'objet de la loi du 25 novembre 2021 organisant le verdissement fiscal et social de la mobilité, laquelle prévoit, entre autres, une déduction majorée des frais pour les entreprises. La question s'est alors posée de savoir si cette dernière pouvait être combinée avec la déduction pour investissement unique déjà existante. Dans une réponse à une question parlementaire, le ministre des finances, Vincent Van Peteghem, a clarifié ce point.