VAT novelties in 2024: what to remember?
February 2024 - As every year, there are a lot of striking VAT novelties in 2024. In this article, we list some important changes for you.
VAT identification number: technical adjustments
Based on a recent draft law, several technical adjustments are being made regarding the allocation of a VAT identification number and the obligation to communicate the VAT identification number to suppliers.
Extension of notification requirement for mixed VAT taxable persons
Since 1 January 2023, mixed VAT taxpayers are required to provide advance notice if they apply VAT deduction according to actual consumption. In such case, in 2024, information must be provided for the first time (via an interface on Intervat) on how much VAT was deducted: at 100%, 0% and according to one or more special ratios.
Since 1 January 2024, this notification obligation is extended to mixed VAT taxpayers who exercise their right to deduction via the general ratio. This notification must be made via electronic form 604A or 604B. VAT-taxable persons already exercising their right of deduction through the general ratio on 31 December 2023 must report it by 30 June 2024.
Based on these mandatory notifications, targeted VAT audits will take place.
Extending the reduced VAT rate for heat pumps
From 1 April 2022 to 31 December 2023, a temporary reduced VAT rate of 6% applied to the supply and application of photovoltaic solar panels, thermal or photovoltaic solar panels and solar water heaters and heat pumps - excluding hybrid heat pumps - for homes under 10 years old.
This reduced 6% rate will be extended until 31 December 2024, but only for heat pumps, excluding hybrid heat pumps.
Renewed registered cash register system (GKS)
Ten years ago - in 2014 - the registered cash register system (GKS) was introduced in the hospitality sector. Through a draft law, this system is being thoroughly updated. The basic principle (securing transaction data with a digital signature in the Fiscal Data Module) remains. What is new is that this no longer has to be done with a VAT signing card. Also, there will still be only one audit file, regardless of the cash register software used.
The main novelty is that (detail) transaction data will be forwarded online and in real time to the VAT administration. This will enable remote controls.
The entry into force - scheduled as of 1 January 2024 according to the draft law - is subject to a transitional arrangement until 1 January 2027 if GKS certification has already been applied for or obtained by 31 December 2023.
Joint and several liability electronic interfaces
From 2024, joint and several liability will apply to taxpayers who facilitate supplies of goods through electronic interfaces. This joint and several liability comes into play in situations where these supplies are not covered by Article 13a of the Code. Electronic interfaces are considered to be buyer/seller in the following circumstances:
· when a non-EU supplier delivers goods into the EU via the platform, or
· when goods with a value below EUR 150 are imported.
This new form of joint and several liability does not apply where the taxpayer is bona fide and has not been at fault or negligent.
