Belgium Enacts VAT Rate Increase for Pesticides and Accommodation

VAT Rate Changes in Belgium March 2026

Belgium has adopted a Royal Decree introducing important VAT rate changes as part of its multiannual budget agreement. The Decree was published in the Official Gazette (No. 2026001322 of 23 February 2026) and applies from 1 March 2026.

The changes affect:

• The supply of pesticides and plant protection products; and
• The provision of furnished accommodation and camping pitches.

These measures will have a direct impact on businesses operating in the agricultural and hospitality sectors, as well as on multinational groups with Belgian VAT registrations.

1. VAT Increase for Pesticides and Plant Protection Products

New VAT Rate: 21% (previously 12%)

From 1 March 2026, the VAT rate on the supply of pesticides and, more generally, plant protection products increases from 12% to 21%.

This change is implemented by abolishing the reduced 12% rate previously applicable under Royal Decree No. 20. As a result, these products now fall under the standard Belgian VAT rate.

The increase applies to:

• Pesticides for agricultural use approved by the competent Minister;
• Products authorised in another EU Member State and permitted for parallel import into Belgium;
• Other recognised phytopharmaceutical products.

Products already subject to 21% VAT remain unaffected.

The reform does not apply to living organisms such as ladybird larvae used for biological pest control (these were already subject to 21%), nor to fertilisers that are not mixed with phytopharmaceutical products.

Mixed Products

The Decree also clarifies that fertilisers mixed with plant protection products are excluded from the 6% VAT rate applicable to fertilisers.

Where a product consists of a mixture (for example, lawn fertiliser containing a weedkiller), the standard VAT rate will apply. This position was previously reflected in administrative guidance and is now formally embedded in the legislation.

Pure fertilisers remain subject to the 6% VAT rate.

EU Law Background

Following amendments introduced by Directive (EU) 2022/542, reduced VAT rates for chemical pesticides will no longer be permitted from 1 January 2032.

Belgium has chosen to anticipate this change. Rather than limiting the reform to chemical pesticides in 2032, the government has decided to apply the standard 21% rate to all pesticides already from 1 March 2026.

2. VAT Increase for Accommodation Services in Belgium

New VAT Rate: 12% (previously 6%)

From 1 March 2026, the VAT rate for certain short-term accommodation services increases from 6% to 12%.

This concerns:

• The supply of furnished accommodation;
• The provision of camping pitches.

Furnished Accommodation

The 12% VAT rate applies where the service qualifies as taxable furnished accommodation under Article 44, §3, 2°, a), third indent of the Belgian VAT Code.

In practice, this covers short-term accommodation (less than three months) where certain hotel-like services are provided, such as: physical reception of guests; provision of bed linen; weekly replacement of linen (for stays longer than one week); daily breakfast service.

Camping Pitches

The 12% VAT rate also applies to the provision of camping pitches, meaning land made available for placing tents, caravans or similar temporary structures.

However, the following remain outside the scope:

• Rental of land on which chalets or holiday homes are built (generally treated as VAT-exempt immovable letting, unless qualifying as furnished accommodation);
• Rental of a mobile home as movable property (subject in principle to 21% VAT, unless it qualifies as furnished accommodation).

‍

Belgium’s VAT reform introduces significant rate increases in two sensitive sectors: agriculture and hospitality. By moving pesticides to the standard VAT rate ahead of the 2032 EU deadline and increasing the rate for short-term accommodation, the government is aligning fiscal policy with environmental and budgetary objectives.

Businesses operating in Belgium should take immediate steps to ensure compliance from 1 March 2026.

‍

‍

‍

‍