Belgium: Guidance clarifying VAT exemption for medical and hospital care
Commentary with regard to the amended provisions of the VAT exemption for medical and hospital care
Commentary on amended provisions of VAT exemption for medical and hospital care
The Belgian tax authorities on 20 December 2021 published guidance (Circular 2021/C/114) concerning the value added tax (VAT) exemption for medical care by qualifying persons and for hospital care.
The circular includes commentary with regard to the amended provisions of the VAT exemption for medical and hospital care.
A VAT exemption for medical and hospital care (as amended by July 2021 legislation, with an effective date of 1 January 2022) is intended to align the scope of the exemption with EU legislation and Belgian case law, and to clarify that certain non-therapeutic services are excluded from the scope of the measures. Read TaxNewsFlash
There are substantial implications regarding the VAT position of many (para)medical and hospital care providers, and this has triggered questions. In response, the Belgian tax authorities earlier in December 2021 announced tolerances and certain transitional measures with regard to the applicable VAT regime, VAT identification, first periodic VAT returns, and the revision of deducted VAT.
Read a December 2021 report prepared by the KPMG member firm in Belgium
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.