Covid-19 – Extension of VAT support measures (update)

Definitive measures

• Abolition of December advance for VAT
• Harmonization of VAT refunds: lowering minimum thresholds

Temporary measures

• Lower late payment interest for VAT (and customs and excise duties)
• Reduced VAT rate of 6% for the catering industry (extended till Sept 30, 2021)
• Reduced VAT rate of 6% for the demolition and reconstruction of homes (till end of 2022)
• Reduced rate for COVID-related goods and services
  • a temporary reduced rate of 0% on vaccines and test
  • application of the reduced VAT rate of 6% on the sale of mouth masks and handles has been extended until June 30, 2021

Source Grant Thornton

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