The various political parties are not reaching an agreement on the tax program law that would be introduced July 1, 2025. The vote was tentatively adjourned to July 10.
The program law includes measures such as a uniform regulation around the reduction of VAT on demolition and reconstruction, the harmonization between liquidation reserves and the VVPRbis regime, ... With this delay, the opposition hopes to make some final text changes.
What is in the draft program law?
As an entrepreneur, these are the main legislative changes that would be introduced by the May 27, 2025 program law:
- Harmonization between liquidation reserves and the VVPRbis regime;
- Uniform reduced VAT rate of 6 percent for demolition and reconstruction;
- Elimination of tax increase for first offense in good faith;
- Adjustments regarding FDI deduction (Definitively Taxed Income);
- Tightening annual tax on securities account;
- Exit tax for the shareholder of a Belgian company who emigrates.
The postponement of the vote mainly creates for the construction industry ambiguity. The current temporary arrangement, which allows the 6% rate under strict conditions (such as an environmental permit before July 1, 2023), finally expired on June 30, 2025.
Due to the delay in the parliamentary process, it is until further notice unclear whether the reduced VAT rate of 6% can be effectively applied to invoices from July 1.
Procrastination is not procrastination
For now, the vote on the program law was adjourned to July 10. In the meantime, the possibility exists that there will be text adjustments be implemented.
Once the text is voted on, it can parliament final hair approval grant.
