Due to the recent amendment of the law on the VAT exemption for services rendered by the (para)medical professions, hospital nursing and medical care, we would like to provide some additional clarifications about the VAT identification.
A. You are a mixed taxpayer who becomes a taxpayer without the right to deduct (= exempt taxpayer on the basis of Article 44 of the VAT Code)
You are a mixed taxpayer, you have not changed your activity(ies), but from now on you must be regarded as a taxpayer without the right to deduct? You must submit a declaration to change a VAT identification ( form e604B ) and not a declaration to cease an activity (form e604C) (see point B. Tolerance for VAT identification current report of 9 December 2021 ).
You are a mixed tax payer, you have changed your activity(ies) and from now on you only carry out transactions that are exempt from VAT? You become an exempt taxpayer. You must file a Form 604B to report the changes in your activity as a taxpayer and to change your tax regime. You do not need to file Form 604C as you are not ceasing your economic activity.
Point of attention when completing the form e604B in the application e604
In the ‘VAT regime’ tab, you must first indicate which type of transactions you perform. If you are a mixed taxable person who from now on carries out exempt activities, you must tick the box ‘only carries out transactions referred to in Article 44 (taxable person without right to deduct VAT)’.
You must then choose a VAT scheme under point ‘D. Taxable person without right to deduct (application of Article 44)’. If your intra-Community acquisitions, as an exempt taxable person in Belgium, are not taxable (you have not exercised the option or have not exceeded the threshold of 11,200 euros), you must check the box ‘I declare that I am liable for VAT because I receive services, which take place in Belgium, carried out by a taxable person not established in Belgium’. By designating this scheme, you will be regarded as a taxpayer:
- without right to deduct and
- without submission obligations as long as you do not communicate your VAT identification number to a supplier or service provider in another Member State.
B. Deadline for submission of forms e604A and e604B
We have provided a tolerance period for taxpayers who are required to identify themselves for VAT (form e604A) or who need to change their existing VAT identification (form e604B) as a result of the amendment of the law. They had to submit those forms by January 31, 2022 (extended to February 1, 2022 due to a technical failure of the e-services) at the latest.
We will not sanction the spontaneous late submission of forms e604A and e604B. However, if you have received a reminder letter from us and if you have not submitted form e604A or e604B within the one-month reply period, we will impose the applicable penalty (see ‘ Guidelines for the application of the proportional and non-proportional VAT rules’). fines (PDF, 428.21 KB)(This hyperlink opens a new window)‘, Nos. 78 and 79).
Attention! The aforementioned tolerance does not apply to the submission of periodic returns and the inclusion of taxable transactions in those returns . You must include the transactions performed from 1 January 2022 in the periodic VAT returns.
If you have to submit a periodic VAT return for the first time due to legislative changes, you can use the tolerance provided for in point C. of the actua report of 9 December 2021 .
If you have already submitted periodic returns, you must include the transactions performed from 1 January 2022 in the periodic VAT return relating to January 2022 or the first quarter of 2022.
C. NACEBEL codes
No new NACEBEL code has been created as a result of the recent legislative amendment for medical VAT exemptions. As a result, you should not include transactions that belong to the domain of medical care but are not exempt from VAT under a separate NACEBEL code.
Source: belgium.be
