Tax · VAT · 2026

VAT for the self-employed: rates, exemption and returns in Belgium 2026

Everything a self-employed person in Belgium needs to know: 21 / 12 / 6 / 0%, the exemption below €25,000, quarterly vs monthly returns, intra-EU transactions, penalties.

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By the Finances Indépendants editorial team

VAT rates in force in 2026

Four VAT rates coexist in Belgium in 2026, set by the VAT Code and its implementing royal decrees. The applicable rate depends on the nature of the goods or services sold.

Rate

Typical examples

Standard

21%

Consultancy and IT services, all goods unless an exception applies

Intermediate

12%

Social housing, eat-in restaurant meals (excluding drinks), certain fuels

Reduced

6%

Food, books, medicines, hotels, building work on homes > 10 years old

Zero / exempt

0%

Intra-EU B2B exports, medical services, education

Source: VAT Code · implementing royal decrees · 2026

The small business exemption (below €25,000)

Any self-employed person whose turnover excluding VAT stays below €25,000 a year can opt for the small business VAT exemption. Consequences: you do not charge VAT to your customers (which lowers your price including taxes and makes you more competitive when selling to private individuals) and you do not recover VAT on your purchases.

The small business exemption is particularly worthwhile when: (a) you are starting your activity with a modest volume, (b) you sell mainly to private individuals (B2C), (c) you have few expenses that carry input VAT.

Returns: quarterly or monthly?

How often you file VAT returns depends on your turnover and your intra-EU transactions.

Frequency

Deadline

Quarterly scheme (turnover ≤ €2.5 million)

4 a year

20 April, 20 July, 20 October, 20 January

Monthly scheme (turnover > €2.5 million or intra-EU > 50k)

12 a year

20th of the following month

Source: VAT Code · FPS Finance circulars 2026

On top of this come the annual list of VAT-registered customers (before 31 March) and the intra-EU listing (monthly or quarterly depending on volume).

Recoverable VAT and deduction rules

VAT paid on your business purchases is deductible if it meets three conditions: (1) a direct link with your economic activity, (2) a compliant invoice (VAT details, Crossroads Bank for Enterprises (CBE) number, supplier identity), (3) deduction in the return for the period or within the following 3 years.

  • Company car: 50% recovery (mixed use) or 100% (business use only). See the company car page.
  • Entertainment expenses: 0% (VAT not recoverable, like the 50% expense treatment for income tax).
  • Restaurant meals: 0% VAT recovery on "meal" invoices (Income Tax Code + VAT Code).
  • Ordinary purchase of equipment / materials: 100% recoverable if used for the business.

Intra-EU transactions

For B2B transactions with other European Union member states, a specific mechanism applies: the reverse charge. The seller does not charge VAT, and the buyer declares the VAT themselves in their own country at the local rate (amount payable + deductible in the same return → net impact = 0 if the purchase is fully deductible).

Key conditions: the customer's valid VAT number (which can be checked via VIES), an invoice with the wording "VAT reverse charged, Art. 138 Directive 2006/112/EC", and an intra-EU listing to be filed.

Penalties and common mistakes

VAT penalties build up quickly if filing or payment obligations are not met.

  • Late filing: €100 a month, up to €1,000 per missed return.
  • Late payment: late-payment interest of ~0.8% a month on the VAT due.
  • Error without fraudulent intent: proportional fine of 5 to 20% of the VAT concerned.
  • Fraud (fictitious invoices, concealment): 200% fine + criminal prosecution.

Sources

  1. 1969 Value Added Tax Code, Articles 56 and 56bis (exemption), 138 (intra-EU). View (new tab)(Official source, 2025)
  2. FPS Finance, "VAT for the self-employed" brochure 2025-2026. View (new tab)(Official source, 2025)
  3. European Commission, VIES, Validation of intra-EU VAT numbers. View (new tab)(Official source, 2025)

VAT · 2026 figures

Three numbers to remember

  • 21%

    Standard VAT rate in Belgium

    VAT Code · Art. 37 · 2026

  • €25,000

    Exemption threshold, annual turnover excluding VAT

    VAT Code · Art. 56bis · 2026

  • 20

    Day of the month, return deadline

    VAT Code · 2026

FAQ VAT

Frequently asked questions about VAT for the self-employed

  • The standard rate is 21%. Three reduced rates coexist: 12% (social housing, eat-in restaurant meals excluding drinks), 6% (food, books, medicines, certain building work on homes), 0% (intra-EU exports).

  • Below €25,000 of turnover excluding VAT a year, a self-employed person can opt for the small business exemption: they do not charge VAT to their customers and do not deduct it on their purchases. Ideal when starting out or for low-volume activities with little deductible input VAT.

  • The quarterly scheme applies by default if turnover is ≤ €2.5 million a year and intra-EU transactions are < €50,000 a year. Above that, the monthly scheme is compulsory. Returns must be filed by the 20th of the month following the period (e.g. Q1 → 20 April).

  • For B2B sales to other EU countries where the customer has a valid VAT number: invoice at 0% (reverse charge by the customer). For intra-EU B2B purchases: you apply the reverse charge yourself (VAT payable + deductible in the same return). An annual intra-EU listing is compulsory.

  • A fixed fine of €100 per month of delay applies (up to €1,000). Where VAT is due, late-payment interest of around 0.8% a month is added. Repeated late filing can trigger an in-depth VAT audit. Always prefer a "nil" or approximate return corrected later to not filing at all.

  • Subject to VAT: almost all goods and services. Exempt (no VAT): medical services, education, banking/insurance transactions, second-hand property, certain cultural services. For an exempt provider: no VAT to charge, but VAT on purchases is not recoverable.