Belgium’s value-added tax (VAT) rules shape how businesses price products, structure cross-border sales, manage cash flow, and stay compliant as they grow. With Belgium having a standard 21% VAT rate and multiple reduced rates for specific goods and services, It’s essential to understand which rules apply to your business if you sell there.

Below, we explain how different Belgium VAT rates apply, who needs to register, and what ongoing compliance looks like for local and international businesses.

What’s in this article?

• What is the Belgium VAT rate?
  
• What are the VAT rates applicable to businesses selling in Belgium?
  
• Which businesses need to register for VAT in Belgium?
  
• How does VAT registration work in Belgium for foreign businesses?
  
• What are the VAT compliance requirements in Belgium?
  
• How do you calculate VAT in Belgium?
  
• Can businesses reclaim VAT in Belgium?
  
• What is a Belgian VAT number?
  
• How Stripe Tax can help
  

What is the Belgium VAT rate?

Belgium’s standard VAT rate is 21%, and most businesses will apply this rate most of the time. If a good or service doesn’t clearly fall under a reduced or zero rate, the 21% rate must be used by default.

What are the VAT rates applicable to businesses selling in Belgium?

Belgium applies four main VAT rates. The correct rate will depend on what you’re selling and how it’s delivered.

Here are the different rates.

Standard rate (21%)

This is the default rate and applies to most goods and services, including professional services, consumer products, electronics, and many digital offerings.

Reduced rate (12%)

The 12% rate applies to a narrow range of activities, such as on-premise restaurant and catering food, certain housing-related items, and selected agricultural or energy-related supplies. Small differences, such as whether food is consumed onsite or taken away, can determine whether this rate applies, so context matters.

Reduced rate for essentials (6%)

This rate covers a broad range of essential and socially important goods and services. Examples include most food and nonalcoholic drinks, water supplies, medicines, medical devices for people with disabilities, books and ebooks, hotel accommodation, and access to cultural or sporting events.

Some labor-intensive services, such as bicycle repairs, also fall under this rate when strict conditions are met.

Zero rate

Used for specific transactions such as international and intra-EU passenger transport and certain qualifying newspapers and periodicals. Zero-rated supplies still allow businesses to reclaim input VAT, which makes this category particularly relevant for exporters and cross-border operators.

Which businesses need to register for VAT in Belgium?

VAT registration depends on turnover and the nature of a business’s activities. Once a business reaches a certain scale, it’s mandatory.

Here are the rules.

Belgian-established businesses

Any Belgian business carrying out VAT-taxable activities must register for VAT unless it qualifies for the small-business exception. This exemption applies when annual turnover stays below €25,000. Businesses using the small-business exception do not charge VAT or file returns, but they also cannot reclaim VAT on expenses.

Once turnover exceeds €25,000, VAT registration becomes mandatory, and VAT must be charged and reported from that point onward.

EU businesses

Small EU businesses that don’t exceed Belgium’s domestic threshold of €25,000 and have a total annual turnover of €100,000 or less (or the equivalent in national currency) in all Member States are eligible for a VAT exemption.

EU businesses selling to Belgian customers that are not using this exemption must apply Belgian VAT if total EU-wide B2C sales exceed €10,000. This can be handled either through direct Belgian VAT registration or via the EU One Stop Shop (OSS).

Foreign businesses

Belgium doesn’t offer a VAT registration threshold for non-EU companies. A single taxable transaction in Belgium can trigger an immediate obligation to register.

This includes:

• Businesses holding stock in Belgium: Storing inventory in Belgium, such as goods held in a local warehouse or fulfillment center, automatically creates a VAT obligation.

• Non-EU company: Any non-EU business making taxable supplies in Belgium must register from the first transaction.

How does VAT registration work in Belgium for foreign businesses?

Foreign businesses must register for VAT differently from Belgian businesses. The registration process largely depends on whether the business is established inside or outside the EU.

Here are the rules:

• EU-established businesses: EU companies can register directly with the Belgian VAT authorities. A fiscal representative isn’t required. Applications typically include company documents, proof of business activity, and details of planned Belgian transactions.

• Non-EU businesses: Non-EU companies must appoint a Belgian fiscal representative. They will act as the local point of contact and are jointly liable for VAT obligations. Non-EU businesses must also provide a financial guarantee, typically 10% of the estimated annual VAT liability, subject to a minimum amount.

• Timing: VAT registration usually takes three to four weeks once a business submits a complete application. Delays are common if documents are missing or unclear, so registering before starting taxable activities is strongly advised.

• Alternative routes: EU businesses selling cross-border to Belgian customers can avoid local registration by using the EU OSS scheme. However, OSS doesn’t apply to situations such as holding inventory in Belgium.

What are the VAT compliance requirements in Belgium?

Once you’re registered for VAT in Belgium, compliance becomes an ongoing responsibility. Accuracy, consistency, and punctuality are vital.

Here’s how to fulfil compliance requirements.

Apply the correct VAT rate

Businesses must apply the correct Belgian VAT rate based on the nature of the transaction and the manner of supply. Using incorrect reduced rates is a common and costly error.

Issue compliant invoices

VAT invoices must include mandatory details, such as the seller’s Belgian VAT number, the customer’s VAT number for B2B sales, invoice date and number, taxable amount, VAT rate, and VAT amount. As of 2026, e-invoicing is mandatory for B2B sales.

File VAT returns and make payments

Businesses typically file VAT returns monthly or quarterly. VAT due must be paid by the filing deadline to avoid penalties and interest. Quarterly filers are usually required to make advance payments during the first two months of each quarter, which are later reconciled in the return.

File additional documents as needed

Businesses making VAT-free sales to EU VAT-registered customers must also submit EC Sales Lists, and those exceeding intra-EU goods movement thresholds must file Intrastat declarations. These reports are separate from VAT returns and follow their own schedules.

Keep adequate records

VAT records, including invoices and supporting documentation, must be retained for several years and made available during audits.

How do you calculate VAT in Belgium?

VAT calculation in Belgium follows a consistent formula. It must be done correctly on every transaction, as errors and inconsistencies have consequences.

Here’s what you’ll need to know how to do:

• Identify the correct VAT rate: Determine whether the transaction is subject to 21%, 12%, 6%, or 0% VAT.

• Calculate VAT on a net price: Multiply the net amount by the VAT rate. A €100 sale at 21% VAT yields €21 in VAT, for a total of €121.

• Extract VAT from a gross price: Divide the VAT-inclusive price by 1 plus the VAT rate to find the net amount. The result is the VAT.

• Display VAT correctly: Business invoices typically show net price, VAT rate, VAT amount, while customer prices usually include VAT.

• Report VAT accurately: Charged VAT becomes the output VAT and is offset against reclaimable input VAT when filing returns.

Can businesses reclaim VAT in Belgium?

Belgium’s VAT system is designed in a way that tax costs sit with the end customer, not with businesses. VAT is generally reclaimable on expenses linked to taxable activities, such as accommodation, transport, professional services, and events, though some costs are partially restricted or excluded.

Consider these specifics:

• Belgian VAT-registered businesses: They reclaim VAT directly through their VAT returns by offsetting input VAT against output VAT. If input VAT exceeds output VAT, the balance can be carried forward or refunded.

• EU businesses not registered in Belgium: EU-established companies can reclaim Belgian VAT through the EU VAT refund procedure, submitted via their home country’s tax portal.

• Non-EU businesses not registered in Belgium: They must use the 13th Directive refund process by applying directly to the Belgian tax authority and providing additional supporting documentation.

What is a Belgian VAT number?

A Belgian VAT number is the official tax identifier that businesses use for VAT purposes in Belgium. It’s required for invoicing, filing VAT returns, and validating cross-border EU transactions. The number is formatted as BE, followed by 10 digits, based on the company’s enterprise number (with a leading zero if required). The number must appear on all VAT invoices and official VAT-related correspondence.

Belgian VAT numbers can be checked through the EU’s VAT Information Exchange System (VIES). Once issued, the number covers all Belgian VAT obligations for the business.

How Stripe Tax can help

Stripe Tax reduces the complexity of tax compliance so you can focus on growing your business. Stripe Tax helps you monitor your obligations and alerts you when you exceed a tax registration threshold based on your Stripe transactions. In addition, it automatically calculates and collects sales tax, VAT, and GST on both physical and digital goods and services—in all US states and in more than 100 countries.

Start collecting taxes globally by adding a single line of code to your existing integration, clicking a button in the Dashboard, or using our powerful API.

Stripe Tax can help you:

• Understand where to register and collect taxes: See where you need to collect taxes based on your Stripe transactions. After you register, switch on tax collection in a new state or country in seconds. You can start collecting taxes by adding one line of code to your existing Stripe integration or add tax collection with the click of a button in the Stripe Dashboard.

• Register to pay tax: Let Stripe manage your global tax registrations and benefit from a simplified process that prefills application details—saving you time and simplifying compliance with local regulations.

• Automatically collect tax: Stripe Tax calculates and collects the right amount of tax owed, no matter what or where you sell. It supports hundreds of products and services and is up-to-date on tax rules and rate changes.

• Simplify filing: Stripe Tax seamlessly integrates with filing partners, so your global filings are accurate and timely. Let our partners manage your filings so you can focus on growing your business.

Learn more about Stripe Tax, or get started today.