- Belgian Government clarified changes to VAT relief for demolition and reconstruction of homes
- Initially, reduced rate only applied to homes in urban zones and not for real estate developers
- Scheme extended nationwide with new social conditions due to COVID-19 pandemic
- Individual taxpayers eligible if rebuilding their own home under 200 meters squared
- Real estate developers can access reduced rate if property is for long-term rental through social housing policy
- Concessionary VAT rate for real estate developers’ supplies will no longer be allowed from January 1, 2024
- Transitional rules for existing projects until December 31, 2024
- Lower house approved changes with amendments for greater flexibility in social housing rental condition
- Long-term rental defined as rental for at least 15 years
- Work on project must have commenced before June 1, 2024 for transitional rules to apply
- Changes will apply from June 1, 2024 as scheduled
Source: answerconnect.cch.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.
