VAT Refunds And Compliance: From 2025, You Better Be Compliant

In January 2025, the processing of periodic VAT returns (the "VAT chain") will change in Belgium. With this reform, the VAT authorities intend to make VAT collection and refund procedures more automatic, harmonised and efficient. In addition, one aims to reduce the VAT gap of 4.44 billion euros by further incentivising taxpayers to better comply with the law.

The new rules may significantly affect the compliance workflow of VAT taxable persons who file periodic returns. Next to the extension of the deadline for filing quarterly returns to the 25^th of the month (instead of the 20^th) and the centralisation of VAT-related procedures within a single department of the VAT authority (the General Administration for Collection and Recovery), the following two new key features deserve the utmost attention from VAT taxable persons.