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VAT Rate Error: Who is Responsible for the Difference?

  • When a professional invoices VAT at a reduced rate by mistake, they cannot demand a tax supplement from their client unless the client agrees or the client’s tax certificate is inaccurate.
  • The reduced VAT rate for certain work in housing is subject to the client providing a certificate stating that the conditions for applying the rate are met.
  • The Court of Cassation ruled in favor of a client who refused to pay the VAT difference after an artisan invoiced at the reduced rate instead of the normal rate for reconstruction work.
  • The court found that no agreement had been reached between the artisan and the client for the payment of a VAT supplement and the client had not provided an inaccurate tax certificate.
  • Currently, the normal VAT rate is 20% and the reduced rate is 5.5% or 10%.

Source: pkf-arsilon.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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