Belgium
Languages

Languages

Tax Insights April 2021 - Various VAT Changes

In the context of the current COVID crisis, the government has taken a number of VAT measures to give companies the necessary breathing space and to promote liquidity. An overview follows. 

DEFINITIVE ABOLITION OF THE DECEMBER ADVANCE PAYMENT

After the temporary abolition of the December advance payment last year, it has now been decided to abolish it permanently and, consequently, box 91 will disappear from the VAT return. 

LOWERING OF THE THRESHOLD FOR THE REFUND OF THE VAT CREDIT

When the periodical VAT return results in a VAT credit, this amount is in principle carried forward to the next return period unless a refund is explicitly requested.  In order to support the liquidity of companies, the following minimum amounts will apply from now on for requesting the refund of this VAT credit:

Declaration

Previously

As from 1 April 2021

4th quarter / December return

245 EUR

50 EUR

All other quarterly/ monthly VAT returns except 4th quarter/ December

615 EUR/ 1.485 EUR

400 EUR

Monthly VAT refund licence/ first 24 months

245 EUR

50 EUR

TEMPORARY REDUCTION OF LATE PAYMENT INTEREST AND FINES

The late payment interest due for late payment of VAT will be reduced to 4% instead of 9.6% for the months of April, May and June.  The 15% late payment penalty will also be reduced to 10% for the same period. However, if the VAT debts are the subject of a court decision or are included in a collection and recovery register, the interest rate will be increased from 7% to 8%. 

If you would like to receive additional information on this matter or require VAT assistance, the Tax team of RSM Belgium is at your disposal ([email protected]). 

RSM Intertax

DOWNLOAD OUR TAX INSIGHTS

tax_insights_small.jpg

How can we help you?

Contact us by phone +32 (0)2 379 34 70 or submit your questions, comments, or proposal requests.

Email us