On 10 October 2019, a draft bill to implement the EU’s ‘Quick Fixes’ for VAT into Belgium law was approved in parliament by the Commission of Budget and Finance. As a result, the draft bill will become effective from 1 January 2020.

The draft bill mainly relates to the implementation of the EU temporary cross-border transaction simplifications known as the ‘Quick Fixes’. The four ‘Quick Fixes’ for VAT aim to provide clarity, guidance and some simplifications to VAT treatment that should apply when EU supplies of goods take place. These include:

  • Simplification and harmonisation of rules regarding call-off stock;
  • The VAT identification number of the customer becoming a substantive condition for exempting the intra-Community supply of goods;
  • Simplification of chain transactions to enhance legal certainty by establishing uniform criteria; in addition to
  • Harmonisation and simplification of documentary evidence as proof of an intra-Community transport of goods. Thus is for the purpose of applying the VAT exemption.

The enactment of this bill will follow many other EU Member States in implementing the European Commission’s 2018 Directive on the harmonisation and simplification of certain rules in the VAT system for the taxation of trade between Member States. So all Member States should have enacted this Directive into law by 1 January 2020.

Your business can prepare for the four VAT ‘Quick Fixes now. Watch our ‘Quick Guide to the Quick Fixes’ webinar here.

If any of the above changes affect your business, please contact one of our VAT experts to find out how we can assist you.

By |November 25th, 2019|