Modernisation VAT chain from 1 January 2025
December 2024 - From 1 January 2025, the Belgian legislator is modernising the VAT declaration procedure and the collection of tax and non-tax debts.
One of the biggest changes is the automatic monthly refund for all monthly declarants, who will no longer need a special licence. For quarterly filers, the filing deadline is extended to the 25th day of the month after each quarter. For late or missing returns, the administration will send a ‘proposal of substitute return’, with the amount due based on the highest payment position in the last 12 months, with a minimum of 2,100 euros. Upon receipt of this proposal, the taxpayer will have one month to still file a return; otherwise, the proposal will become final.
The law also aims to deal more effectively with non-filing of returns and aims to reduce the VAT gap, currently 12%, through more efficient procedures. Corrections to submitted VAT returns can now only be made within the same return period. Outside that period, the correction must be processed in the next period's return.
From February 2025, taxpayers can apply for VAT credits for the current return period, provided they filed their returns on time during the past six months and the credit is at least €50. Old credits require a separate request. Furthermore, the new scheme replaces the current account with an online managed commission account via MyMinfin, which facilitates VAT payments and credit allocations.
Finally, a statutory response time of one month is introduced for requests for information, with the exception of situations where the Treasury's rights are threatened or when checking VAT refunds, for which there is a 10-day deadline. VAT payments via direct debit will become possible, although this has yet to be worked out in practical terms.
