- The Belgian Official Gazette published Royal Decree No. 19 on December 24
- The decree partially transposes EU directives 2020/285 and 2006/112/EC
- It relates to the VAT exemption regime for small enterprises and the common VAT system
- Measures include allowing new economic activities in Belgium to apply for tax exemption by notifying the VAT administration
- Specific turnover requirements must be met to qualify for the exemption
- Taxpayers can deduct VAT on unused goods and assets when moving to the exemption regime
- If turnover increases by more than 10 percent in a year, taxpayers must switch to the normal tax regime
- There are specific notification requirements and conditions for reverting to the normal regime
- Taxable persons supplying recovery materials cannot use the exemption regime
- Certain materials are specifically excluded from the exemption
- Taxable persons must notify the VAT administration in advance if using the exemption under EU Directive 2006/112/EC in other member states
- The decree will be effective from January 1, 2025
Source: news.bloombergtax.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
