What is VAT (Belgium)?
VAT (TVA in French, BTW in Dutch) is charged on most goods and services in Belgium. The standard rate is 21%, with a 12% intermediate rate, a 6% reduced rate and a 0% band for a few items such as newspapers.
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Current Rate (Monthly or quarterly periods. Monthly returns are due by the 20th of the following month, quarterly by the 25th of the month after the quarter.)
21% standard, 12% intermediate, 6% reduced, 0% exceptional band
Example
A consultant invoices €1,000 excluding VAT for a standard service. At 21% the VAT is €210 and the client pays €1,210. The same €1,000 at the 6% rate would carry €60 of VAT, and at the 12% rate €120.
How VAT (Belgium) works in Belgium
Belgium has four VAT bands. The 21% standard rate is the default and has applied since 1 January 1996. The 12% intermediate rate covers items such as restaurant and catering services. The 6% reduced rate covers basic goods such as food, books, medical supplies, culture and accommodation. A 0% exceptional band applies to daily and weekly newspapers and certain recovered materials. It is separate from the zero-rating of exports and intra-EU supplies.
VAT returns are filed through Intervat. Monthly filing is the general rule. Quarterly filing is allowed only when annual turnover does not exceed €2,500,000 and the business is not mainly selling vehicles. Payment is due on the same date as the return. The rates and the allocation of goods to bands are set by Royal Decree and amended from time to time.
Belgium is an EU member, so reverse charge, VIES, OSS and intra-EU supply rules apply.
Related terms
The VAT exemption scheme (franchise de la taxe / vrijstellingsregeling) lets a small business in Belgium skip VAT registration while annual turnover stays at or below €25,000, excluding VAT.
Biztax is the electronic service of FPS Finance, reached through the MyMinfin portal, where Belgian companies file their corporate income tax return. Returns are due by the last day of the 7th month after the financial year-end.
Corporate Income Tax (impôt des sociétés / vennootschapsbelasting) is the tax Belgian companies pay on their taxable profit. The standard rate is 25%, in force since 2020. Qualifying small companies pay a reduced 20% rate on the first €100,000 of profit.
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