VAT is a tax on consumption borne by the final consumer. VAT is collected in successive steps, i.e. every transaction of a production and distribution process. The normal rate is 21%. However, the lower rates of 0%, 6% and 12% are applied to certain categories of goods and services.
Belgium has three different VAT rates. For outgoing transactions, each has its own section in the VAT declaration: standard rate: 21% (R03) intermediate rate: 12% (R02) reduced rate: 6% (R01) For some exceptional goods and services, the zero rate applies (R00).
How do I collect VAT in Belgium?
Suppliers of goods or services VAT registered in Belgium must charge the appropriate VAT rate, and collect the tax for onward payment to the Belgian tax authorities through a VAT filling: see Belgian VAT returns briefing.
What are the reduced VAT rates in Belgium?
The second reduced VAT rate (6%) applies to some foodstuffs, water supplies, pharmaceuticals, medical equipment for the disabled, books, newspapers, admission to sports events, hotels. Belgian zero-rated goods and services include some newspapers, certain recycled materials and by-products, transport.
How many digits are there in a Belgian VAT number?
Belgian VAT numbers have 12 characters. The first number following the prefix is always ‘0’. The last 2 digits constitute a control number. Member States must apply a standard VAT rate which must be the same for the supply of goods and for the supply of services.
What is VAT in Belgium called?
The local name for VAT in Belgium is ”Belasting op de Toegevoegde Waarde” (BTW).
Is VAT charged in Belgium?
How much is VAT in Belgium? The standard VAT rate in Belgium is 21%. It applies to most goods and services.
How much is VAT in Brussels?
The standard VAT rate in Belgium is 21%. There are reduced rates of 12%, 6% and 0%. Companies with a Belgian VAT number must submit periodic returns detailing all taxable supplies (sales) and inputs (costs).
How do I pay VAT in Belgium?
Belgian VAT payments
VAT payments in Belgium can be done from a foreign bank account. It is not mandatory to make payments from a local or SEPA bank account. VAT payments must be done by the 20th day of month following the reporting period.
How do I claim VAT back from Belgium?
Request the VAT Refund form from the vendor. You will require your passport for this. Before leaving the EU, go to the customs office to have your VAT Refund forms stamped. Remember to take the goods for which you wish to receive a VAT refund with you to the customs office.
What does VAT stand for?
Value-Added Tax (VAT) is a tax, which is payable on sales of goods or services within the territory of the Member States of the EU. The tax, in all cases, is ultimately payable by the final consumer of the good or service.
How much is income tax in Belgium?
The average rate being 7%. For non-residents, a flat surcharge of 7% is due. In some cases, communal taxes may also be levied on exempted foreign-source income.
How much do you tip in Belgium?
The amount you tip in Belgium will depend on where you are and what type of services you’re buying. As a general rule, expect to tip around 10% of the bill. If you get exceptionally good service, say thank you with a tip closer to 15-20%.
How much is tax-free in Belgium?
Everyone who is subject to personal income tax is entitled to a ‘tax-free allowance’. This means that a portion of your taxable income is not taxed. The tax-free allowance is EUR 9 050 (for 2021 income). It may be higher depending on your personal situation (e.g. if you have any dependent children).
Does Belgium have tax-free?
Income tax in Belgium
Everyone is entitled to a personal tax-free allowance (belastingvrije som, somme exonérée), which stands at €9,050 for income from 2021 and will rise to €9,270 in 2023. Your tax-free allowance increases if you have children.
How much is VAT in Holland?
In the Netherlands, the standard VAT rate is 21%. There are two additional special rates: the 9% rate and the 0% rate (zero rate).
Do I have to do a VAT return?
All VAT-registered businesses must submit VAT Returns – even if there’s no VAT to pay or reclaim. Businesses that aren’t VAT registered don’t need to submit VAT Returns.
How much is VAT for a car in Belgium?
Rule: You pay a net price to the professional seller, plus 21% VAT to the Belgian customs. The local VAT therefore does not apply. A ‘new car’ must meet the following conditions: The delivery took place no more than six months after registration of the car.
What is the sales tax in Belgium?
The Sales Tax Rate in Belgium stands at 21 percent.
What is VAT number in Europe?
A value-added tax identification number or VAT identification number (VATIN) is an identifier used in many countries, including the countries of the European Union, for value-added tax purposes. In the EU, a VAT identification number can be verified online at the EU’s official VIES website.
How can I get my tin number in Belgium?
No, because in Belgium there is no such thing as a tax identification number (TIN) or a separate tax registration procedure. What we do have is a national registration number consisting of 11 digits (YY. MM. DD-XXX.
What does VAT mean in Belgium?
Value added tax (VAT) has been introduced in Belgium starting in the year 1971. The country imposes a standard rate of 21% for certain goods and services commercialized on the Belgian territory.
What is VAT and how does it work?
VAT meaning – a type of tax, on the goods or services, which is collected on any value added during the production and the final stage. With additional value which is created during the production process, Value-Added Tax appears and is applied to most of the sales of goods and services. What does VAT stand for?
What is VAT 2 types of VAT?
– 1) Intake Kind VAT A consumption tax obligation is a tax imposed on consumption costs on items and solutions. – (2) Revenue Type VAT The income-kind VAT does not leave out resources, goods bought from other companies from the tax base in the year of acquisition. – (3) GNP Kind VAT