7-year limitation period only applies to a pure and simple absence of declaration

Absence of VAT declaration or incomplete VAT declaration: nuance!

The Belgian VAT Code allows for an extraordinary limitation period of 7 years (10 years from 1 January 2023) in certain cases, including when taxable transactions have not been declared, were wrongly exempted, or VAT has been unduly deducted.
In a case brought before the Court of Cassation, the administration proposed the application of the 7-year limitation period due to undeclared taxable transactions.
However, the taxable person had declared the existence of “certain imports” without providing complete information, resulting in an incorrect tax base determination.
The Court of Cassation ruled that the 7-year limitation period only applies to a pure and simple absence of declaration, not an irregular declaration, and quashed the judgment of the Liège Court of Appeal.