Upcoming VAT Compliance Changes in Belgium

VAT registered business in Belgium should take into account various changes coming into effect starting 1 January 2025. These changes affect VAT return deadlines as well as changes to VAT refund processes.

According to the latest updates: 

• Due dates will no longer be moved to the next working day. Therefore, in case a due date falls on a Saturday, Sunday or bank holiday, the obligation must be fulfilled by the previous working day.
• No more holidays deadline extension. Regular deadlines will continue to apply for the submission of VAT and ESL returns for the reporting periods of June, July and Q2. 

Quarterly VAT Return Deadlines in Belgium

Taxpayers who submit their VAT returns on a quarterly basis will be happy to know that they will have five additional days to submit their VAT return starting from 1 January 2025, as the quarterly VAT returns will be due by the 25th day of the following month. However, it is important to note that the deadline for monthly taxpayers remains unchanged, i.e., the submission and payment must be made by the 20th day of the following month.

The first reporting period impacted by the new extended deadline for submitting quarterly VAT returns will be the Q4 2024, with a submission deadline by the 25 January 2025. You can find the official tax calendar with all details.

Additionally, according to the latest update, Belgian due dates will no longer be moved to the following working day in case they fall on Saturday, Sunday or bank holiday. There is a transition period foreseen until 1 May 2025, during which the previous rule will continue to apply, meaning that when the submission deadline (20th or 25th of the month) falls on a non-working day, the due date is shifted to the next working day. 

Finally, the holidays deadline extension will no longer be applicable as of 2025.

Substitute VAT Returns in Belgium

In the event of a missed VAT return deadline, the Belgian tax authorities will send taxpayers an assessment of the VAT due, also known as a “substitute” VAT return, three months after the end of the reporting period. How do tax authorities calculate their VAT return assessment? The tax authorities will include proposed estimated amounts based on the highest amount of VAT due declared on the previous 12 VAT returns submitted prior to the reporting period in question.

Taxpayers must submit the final return for the missing period within one month after receiving the tax authorities’ assessment. If the new deadline is missed, the authorities will consider their proposal as final and it can only be contested via an official appeal or court proceedings. The VAT payment will be subject to additional late payment interest and possibly a penalty.

VAT Refund Processes in Belgium

Changes for the VAT refund process in Belgium were also announced. Currently, taxpayers may request the full pending refund amount via the VAT return, including the VAT credit accumulated and carried forward from previous periods.

However, effective by January 2025 the following changes will impact the VAT refund process:

• When selecting to request a refund on the current VAT return, only the credit generated from that period can be requested.
• Carry forward credit amounts from previous periods will be able to be requested online via the taxpayers’ online account.
• Refunds will be able to be requested monthly without any previous authorization from the tax authorities.

Finally, the VAT return submission deadline must be strictly respected to be able to request a VAT refund in case the taxpayer is in a credit position in a reporting period.

Marosa's VAT Compliance Solution

VATify is Marosa's comprehensive VAT compliance solution. This software works as a data analysis and VAT reporting tool helping to comply with your e-invoicing and tax obligations globally. New deadlines, changes in VAT refunds, or changes impacting your reporting obligations can be easily managed with VATify.