Background
Partial and mixed VAT taxable persons using the real use method to determine their right of VAT deduction, must annually report following figures:
- the percentage breakdown of VAT on purchases allocated to fully deductible, non-deductible, and mixed-use activities,
- and the special pro rata figures applied regarding the mixed-use activities.
However, the deadlines for 2025 regarding the estimated figures have been postponed to the final submission date of the periodic VAT return for:
- the second quarter (by 25th July 2025)
- or June (by 22th July 2025).
Final figures must in principle be submitted with the return:
- for the third quarter (by 25th October 2025)
- or November (by 22th December 2025).
Simplification
Because the current legal provisions on mixed taxpayers have a very broad scope, the scope will be reduced in various ways in the coming years by administrative tolerance. Specifically, the Belgian Tax authority in its communication of 4 July 2025 indicates that:
- SMEs do not have to communicate the final figures in the third quarter 2025 or November 2025. The estimate will be considered final.
- Moreover, for SMEs, this obligation will no longer apply from 2026. The obligation will only apply for large companies with mixed VAT status.
For partial taxpayers, the scope remains severely restricted, as communicated on 23 May 2024. The targeted taxpayers should communicate final figures in Q3 2025 or November 2025.
