VAT deduction beyond the expiry period? Belgian circular gives the Biosafe judgment a strict reading

Right to Deduct VAT Outside Regular Time Limits: The Belgian tax authority’s Circular 2025/C/23 acknowledges European case law indicating that VAT deductions should not be automatically denied if taxpayers were objectively unable to claim them within the regular limitation period. However, the implementation remains rigid, allowing deductions only in the period when a corrective document is received.
Cumulative Conditions for Deduction: The circular sets out six strict conditions under which taxpayers can claim VAT deductions outside the usual limitation period, including the necessity for the supplier to issue a corrective document, fulfillment of material and formal requirements post-expiration, and the absence of negligence or fraud. Only additional VAT can be claimed beyond the limitation period, while the original charged VAT remains subject to standard expiration rules.
Reporting Obligations and Procedures: Taxpayers invoking the Biosafe exception must adhere to strict formalities in their VAT returns, including detailed reporting of the additional taxable amount and corresponding VAT, as well as prior written notification to tax authorities. Failure to follow these procedures can result in the loss of the right to claim the deduction, reinforcing the need for meticulous compliance with the new regulations.