Tolerance for donations to Ukraine
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 via designated institutions and meet some other criteria, as elaborated on the website of the Belgian Tax Authorities (see NL/ FR).
This tolerance is based on article 6 Circular 2017/C/32 (NL/ FR), which concerns the donation of goods to victims of disasters and will temporary apply until 30 June 2022. An extension is possible depending on the evolution of the crises.