End of temporary VAT reduction to 6%
To provide the necessary support to the hospitality sector, a temporary reduction in VAT rates on meals and beverages was introduced on May 8, 2021. On September 30, 2021, this temporary reduction expires, making the old VAT rates applicable again and requiring the GKS systems to be readjusted.
What rates will apply as of October 1?
Specifically, back the following VAT rates apply in the hospitality sector:
|Consumption on site (restaurant or catering service||Temporary rate (08/05/2021-30/09/2021)||General rate|
|Non-alcoholic beverages (<= 1.2% vol)||6%||21%|
|Alcoholic beverages (> 1.2% vol)||6%||21%|
|Beers with alcoholic strength by volume <= 0.5% vol.||6%||21%|
|Beers with alcoholic strength by volume > 0.5% vol.||6%||21%|
What was the reduction not applicable to, so nothing changes after September 30?
- Takeout (take-away) remained 6%.
- Simple delivery of alcoholic beverages remained 21%
What about the GKS system?
In order to practically implement the VAT reduction, it is necessary for the users of the registered cash register to timely adjust the cash register programming. Every GKS has by default four VAT codes to which a specific rate is linked: A (21%), B (12%), C (6%) and D (0%). In order to correctly register the reduced VAT rate in the GKS, it is required to change all items (= meals) currently assigned code C (6%) to code B (12%). Drinks should also be given a different VAT code, code A (21%) instead of code C (6%).
Code C (6%) for take-away remains unchanged.
If you are not sure how to change the VAT code of an article, it is best to contact the supplier of the GKS. Changing the VAT codes yourself or using other articles to which a reduced VAT rate applies by default, such as take-away, is strongly discouraged.
The rate reduction ends on 30/09/2021. So don't forget to make the necessary changes in time to return to normal rates from 01/10/2021.
It is almost certain that from October onwards you will have to show that you are vaccinated or have tested negative in health care institutions, sports and fitness centers but also in cafes, restaurants and nightclubs. Also at events and parties from 50 people inside and from 200 people outside you will have to present a coronapas. The mouth mask obligation will also remain in force for a while in the Brussels hospitality sector.
This would be an exceptional and therefore temporary measure that will last up to three months. Checks and penalties will begin in mid-October.
Official reopening of dance halls, discotheques and nightclubs
We've all had to wait for a very long time, but October 1st will finally be the day: throughout the country, dance halls, discotheques and nightclubs will be allowed to open their doors again. This is provided that the Covid Safe Ticket is used and the air quality and ventilation are assured. Dance halls, for their part, are not required to have a Covid Safe Ticket.
However, last Friday's consultative committee did indicate that the regions may decide individually to tackle some measures more strictly or to nuance them. But this will not / can not reduce the upcoming festivities. We wish all the operators a smashing start!
Do you have questions about the end of the temporary VAT reduction? Do not hesitate to contact us here contact.