Belgium VAT changes 2026

Belgium’s federal parliament has approved a broad VAT reform bill introducing changes across invoicing, deduction adjustments, refund procedures and compliance enforcement. The Bill, No. 56/1205, is now awaiting gazetting before coming into law, and clarify implementation date.

See more in our Belgian VAT guide.

VAT ID number clarification for non-Belgian customers

For supplies of goods or services carried out in Belgium but performed exclusively for an establishment located outside Belgium, no VAT identification number must be reported — provided the taxable person is not established in Belgium.

Only where the taxable person is located in Belgium does the VAT number reporting requirement apply.

Extended VAT adjustment Periods

The reform significantly lengthens VAT adjustment periods for certain categories of assets:

• 15 years for intangible assets and services with characteristics of intangible assets.
• 25 years for buildings or parts of buildings that are rented out, including land and related services.

In addition, the definition of “business assets” for VAT deduction adjustment purposes explicitly includes tangible property and property rights, but excludes packaging materials, small equipment, small tools and office supplies.

VAT Chain Reform – Substitute Returns for Non-Filing

In 2025 VAT Chain reforms had been indefinitely postponed. The bill introduces a strengthened enforcement mechanism where VAT returns are not filed on time.

If a taxpayer fails to submit a periodic VAT return:

1. A substitute VAT return may be issued by the authorities.
2. The notification is sent in writing and takes effect on the third working day after delivery via the universal postal service.
3. The substitute return assumes VAT due equal to the highest VAT amount declared in the preceding 12 months, with a minimum of EUR 2,100.
4. The taxpayer has one month to submit the outstanding return.
5. If no return is filed within that period, the substitute assessment becomes final.

Small Companies’ Regime – no deduction

VAT incurred under the small companies regime is explicitly non-deductible. Where the regime applies for only part of the year, non-recoverable VAT must be calculated on a pro rata basis.

Mandatory e-invoicing for B2G

E-invoices are now mandatory for government contracts. An e-invoice must be issued unless the public-sector recipient is technically unable to receive it, either directly or via a third party acting in its name and on its behalf.

VAT refund – 3-month Rule with conditions

VAT refunds will now be processed within three months after the assessment period, provided compliance criteria are met.

Key conditions:

• All VAT returns for the preceding six months must have been filed on time.
• Refunds will first be offset against existing or anticipated tax debts.
• Interest compensation is restricted.

No interest will be paid where:

• The refund arises from a penalty waiver or reduction.
• The taxpayer failed to provide requested verification information (interest only accrues if payment is delayed beyond three months after submission of final information).
• Required payment data were not timely provided to the authorities (interest accrues only after the end of the month in which the information was submitted).