Belgium: Temporary VAT rate reduction for face masks, supplies of electricity, gas, and heat (COVID-19)

Belgium extended reduced rates of VAT for face masks, supplies of electricity, gas, and heat

Belgium extended reduced rates of VAT for face masks, supplies of electricity, gas, heat

The Belgian Council of Ministers (on 24 June 2022) extended reduced rates of value added tax (VAT) for:

  • Mouth masks and hydroalcoholic gels – 6% until end of 2022: The application of the 6% VAT rate for the supply, intra-community acquisition and import of mouth masks and hydroalcoholic gels used in response to the coronavirus (COVID-19) will be extended from 1 July until 31 December 2022
  • Electricity, gas and heat – winter months of 2022 also covered:
    • The application of the 6% VAT rate for the supply of electricity under residential contracts will be extended until 31 December 2022. This temporary measure is currently applicable until 30 September 2022.
    • The application of the 6% VAT rate for the supply of natural gas and heat through heating networks and heat pumps will be extended for the period from 1 August 2022 until 31 December 2022. In addition, distinction is no longer made between supplies on the basis of the underlying contracts.
    • The reduced VAT rate for certain transactions concerning heat pumps will not apply to hybrid installations that partly make use of an energy source other than electricity.

Read a June 2022 report prepared by the KPMG member firm in Belgium

 

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