VAT
You might be in need of reliable information if your company:
- supplies goods or renders services to a wide range of customers in Belgium
- wants to improve the way it anticipates and manages any VAT liabilities
- has a requirement to keep VAT books and wants to optimise its VATaccounting and reporting processes and comply with ongoing regulatory changes
- wants to optimise its VAT compliance and monitor procedures so that it can lessen the impact VAT has on its cash flow
- sends electronic invoices to its customers or receives electronic invoices from its suppliers
- is digitising its invoice records or other documents
- is investing in real estate in Belgium (purchasing, selling, letting, renovation, etc.)
- is investing in marketing schemes
- is active in acquiring or selling other companies
Key information you will find in this section:
VAT Registration
How to register for VAT in Belgium
Before beginning trading as a Belgian VAT payer, businesses are generally required to file a "commencement of trading" declaration with the VAT office for the district where the business is established. Alternatively, this can be done through special service providers.
Non-established entities engaged in trading in Belgium for which they need to charge
VAT
Depending on the country where your company is established, it can elect to register for VAT either:
- directly
- or by appointing a VAT representative
VAT representatives
Belgian entities representing your non-Belgian-established company have many rights in Belgium.
Invoicing
In general, a company must issue invoices, although exceptions do exist. Both paper and electronic invoices are accepted.
VAT accounts and record-keeping
A taxable person is required to keep records of his economic activities in order to allow the VAT regulations to be applied and for checks to be carried out by the VAT inspector.
VAT returns
General principles
VAT applicable transactions need to be reported in a periodic VAT return. A VAT return covers one calendar month or, in certain cases, a financial quarter.
Statements
On top of its VAT returns, your company may also need to file:
- yearly client listings
- EC sales listings
- Intrastat returns
VAT refunds
VAT incurred in Belgium
In general, VAT is wholly deductible, although various exceptions do exist.
VAT incurred in foreign countries
Trading with businesses or buying goods and services in other countries can result in foreign VAT being charged to your business. The EU regulations provide a refund procedure so that VAT incurred can be recovered from the relevant tax authority.
VAT rates
In Belgium, there are various VAT rates applying to different types of goods and services.
The standard VAT rate is 21%.
Special rules applicable in Belgium
The reverse charge principle
In certain circumstances, a system applies under which the payment of VAT is deferred to your customer in Belgium.
E.T. 14 000 Licence
This authorisation enables a business to defer the VAT due upon importation until the next Belgian VAT return is filed, instead of having to pay it at the time the relevant goods are physically imported into Belgium.
All information in this Site is provided "as is", with no guarantee of completeness, accuracy, timeliness or of the results obtained from the use of this information, and without warranty of any kind, express or implied, including, but not limited to warranties of performance, merchantability and fitness for a particular purpose.
