- The VAT certificate requirement for renovation work will be eliminated by the 2025 finance law.
- Previously, customers had to provide a certificate to service providers to qualify for reduced VAT rates.
- The certificate was a fundamental condition for applying the reduced VAT rate.
- The finance law for 2025 simplifies this process by removing the certificate requirement for certain work types.
- From March 1, 2025, customers must include a note on the quotation or invoice certifying eligibility for reduced VAT.
- The note must specify the nature of the work, its eligibility for reduced VAT, and the year of construction if necessary.
- This reform simplifies procedures and reduces administrative errors for individuals and companies.
- Only residential premises completed over two years ago are eligible for reduced VAT certification on estimates or invoices.
- Eligible premises include individual houses, condominium apartments, and residential premises occupied by owners or tenants.
- Buildings used for professional, commercial, or industrial purposes are not affected and follow conventional VAT rules.
- The reform applies to improvement and transformation works.
Source: cyplom.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.
