Belgium VAT on warehousing services
- Jul 23, 2014 | Richard Asquith
The Belgian tax authorities have changed the place of supply rules, and hence the liability to Belgian VAT, for the provision of warehousing facilities to non-resident traders.
Previously, the place of supply rules for storage facilities followed the General Rules. For non-residents customers, this meant the leasing to non-residents was VAT exempt under the reverse charge rules. From June 2014 this has now changed. There are two situations under the new rules:
- Where the facilities are provided for the exclusive use of the foreign trader, then this is now considered a supply of immovable property, and so the place of supply is Belgium. Belgian VAT at 21% is therefore applicable.
- Where other traders may rent the facilities too so that the foreign trader does not have exclusive access, then the General Rule still applies.