Why is the VAT reduction on gas and electricity not yet appearing on all bills? – Belgium

In view of rising gas and electricity prices, the federal government has decided to reduce the VAT on electricity and gas to 6%. However, this reduction is not yet visible on the bills of all households.

1ah The federal government decided in February Reduce VAT on electricity to 6% for all households for the time from 1ah March to September 30, 2022. On March 14, he also temporarily lowered the VAT on gas to 6% in light of the increased gas prices caused, among other things, by the Russian invasion of Ukraine. However, this reduction does not yet apply to all invoices.

Thus it is possible that the deposit paid for March for electricity and April for gas 21% rate. Indeed, given the technical and administrative limitations imposed on electricity and gas utilities, the latter have done so the right to apply the 21% VAT rate to installment payments electricity for the month of March and gas for the month of April. However, these people will see it their situation regulated by their final statement.

Final Countdown

In the end, customers pay 21% VAT power consumption before March 1, 2022 and from October 1, 2022. You only pay 6% VAT for consumption between March 1st, 2022 and September 30th, 2022. The same applies to gas consumption: you will be charged 21% of the VAT for the period before 01.01ah April 2022 and after 1ah October 2022. And they will pay off 6% VAT for their consumption on the 1stah April 2022 to September 30, 2022.

Energy suppliers in Belgium actually accuse a delay in the processing of regularization calculations for electricity and gas, confirms the industry association Febeg, which confirms information from VTM Nieuws. Thousands of people are waiting for their final bill.

The spokesman for the Belgian Association of Electricity and Gas Companies, Stéphane Bocqué, explains this backlog in particular high workload at suppliers due to high energy prices: many questions from consumers, bankruptcies requiring help for customers, introduction of new rules such as the reduction in VAT, among others. A new IT system – a data exchange platform – has also been set up recently and this change requires some adjustments.

Despite these cuts Energy bills are likely to remain high. Federal Energy Minister Tinne Van der Straeten (Groen) is therefore launching an information campaign entitled “Be smart and help Ukraine”. Even though Belgium depends on Russia for only 6% of its natural gas needs, reducing consumption will help Ukraine indirectly.

The campaign fits a set of simple tips who have together, according to the minister a big impact: Switch your heating to night mode an hour earlier, turn up the freezer temperature a little, turn off energy-intensive appliances in the house, take public transport and/or the bike, etc.

On February 1, the federal government decided to reduce VAT on electricity to 6% for all households for the period from March 1 to September 30, 2022. After the invasion of Ukraine, it also temporarily reduced VAT on gas to 6%. However, this reduction does not yet apply to all invoices. It is therefore possible that the rate charged for March for electricity or April for gas will still be charged at 21%. Given the technical and administrative constraints imposed on electricity and gas suppliers, the latter have the right to apply the 21% VAT rate to rates charged for March for electricity and April for gas. However, these individuals will see their situation settled by their final declaration. Final bill At the end of the day, customers pay 21% VAT for electricity consumption before March 1, 2022 and from October 1, 2022. For consumption between March 1, 2022 and September 30, 2022 you only pay 6% VAT. The same applies to gas consumption: for the period before April 1, 2022 and after October 1, 2022 you will be charged 21% VAT. And they pay 6% VAT for their consumption from April 1, 2022 to September 30. 2022. Energy suppliers in Belgium are indeed lagging behind with the processing of regularization invoices for electricity and gas, confirms industry association Febeg, which confirms information from VTM Nieuws. Thousands of people are waiting for their final bill. The spokesman for the Belgian Association of Electricity and Gas Companies, Stéphane Bocqué, explains this backlog in particular with the high workload at suppliers due to high energy prices: many questions from consumers, bankruptcies, who need help towards customers , Introduction of new rules such as a reduction in VAT. A new computer system – a data exchange platform – was also recently set up and this change requires some adjustments. Despite these cuts, energy bills are likely to remain high. Federal Energy Minister Tinne Van der Straeten (Groen) is therefore launching an information campaign entitled “Be smart and help Ukraine”. Even though Belgium depends on Russia for only 6% of its natural gas needs, reducing consumption will help Ukraine indirectly. The campaign bundles a number of simple tips that, according to the minister, together have a great effect: switch the heating to night mode an hour earlier, heat up the freezer a little, switch off energy-guzzling devices in the house, public transport and/or bicycle…

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