In terms of VAT, the government plans to modify the rules concerning the payment of interest in favor of and at the expense of the State.
Interest fulfills a compensatory function and is intended to compensate for the financial loss, due to the unavailability of the sums, suffered by the State or, as the case may be, the taxable person. (QP n° 1267 Wathelet, 3 May 2006, Q. and R. Chambre 2005-06, n° 123, p. 24115).
Under the current system, in the event of payment of default interest by a taxable person following non-payment of VAT within the legal period, the rate is set at 0.8% per calendar month, i.e. 9.6% per year (art. 91 §§ 1 and 2 VAT).
Source Aurelie Soldai
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