On 1 September 2023, the Belgian VAT authorities issued Circular 2023/C/72 updating the VAT treatment of company cars provided by foreign employers to employees living in Belgium. With retroactive effect as from 1 July 2021, these cross-border supplies may be treated as the hiring of a means of transport for consideration, subject to certain conditions, with potential Belgian VAT implications for the foreign employers. Organizations providing company cars to Belgian-resident employees may wish to assess whether their vehicle policies are within the scope of these new rules and take the necessary action where appropriate.
Source: taxathand.com
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