COVID-19: Belgium Further Extends Import VAT Exemption on Medical Supplies

The Belgian government has announced an extension of the import VAT exemption on medical supplies used to combat COVID-19 until 31 December 2022.

Clarifications About the 9% VAT Rate for Heating

The Bulgarian government issued clarifications regarding the application of the reduced VAT rate of 9%. It was clarified that central heating should be considered a continuous supply for VAT purposes and, therefore, the taxable event is considered to arise on the date when the payment becomes due. As such, compensation payments due after 9 July 2022 should be subject to the reduced VAT rate of 9% regardless of being related to periods prior to that date.

Third Relief Package to Tackle Rising Energy Prices and Inflation

The German government has announced a third relief package for taxpayers to tackle sharply rising prices for energy as well as general inflation. The third relief package includes, among others, the following key measures:

• Prolonged application of the reduced VAT rate of 7% for food supplies in restaurants
• Application of the reduced VAT rate of 7% on the consumption of natural gas until 31 March 2024

Filing Obligations for Distance Sales in the EU Clarified

The Greek government has clarified the filing of the “D212 return,” among other issues, the content of the return, the calculation of the threshold of EUR 10,000, the deadlines for filing the return, and the applicable penalties in cases of late submission of the return.

Application of the Reduced VAT Rate on Swimming Pools

A circular was published by the Greek tax authority clarifying that the reduced VAT rate of 13% on the services swimming pools provide refers only to the services of licensed private or municipal swimming pools, to the extent that the services concern the use of the swimming pool for sporting events, water aerobics, swim training, or the training of athletes.

Reduced VAT Rates on Energy and Foodstuffs Extended

The Polish government has decided to further prolong the application of reduced VAT rates on foodstuffs, fuel, and electricity until 31 December 2022, namely a 0% VAT rate on foodstuffs, fertilisers, and natural gas, a 5% rate on heat energy and electricity, and an 8% rate on fuel. Additionally, until the end of 2022, reduced excise duties will apply to motor and heating fuel and electricity.

VAT Procedure for Intracommunity Acquisitions of Means of Transport

The Romanian government has introduced a standard form to be submitted by the taxpayers for the request of VAT certificates pertaining to intracommunity acquisitions of means of transport performed by entities not registered for VAT purposes.

Procedure for Implementing Court Orders Suspending Inactivity Decisions

Under recently gazetted legislation was promulgated a procedure for implementing court orders suspending the enforcement of the decisions of the tax authorities on taxpayers’ inactivity.

VAT Rate on Energy Supply Reduced

Slovenia has introduced a temporary reduction of the VAT rate applicable to the supply of energy for heating purposes. The reduced VAT rate of 9.5% is applicable to electricity, natural gas, remote heating, and firewood for heating purposes from 1 September 2022 until 31 May 2023.

Reduction of VAT Rate on Natural Gas

The Spanish government has introduced a reduction of the VAT rate on supplies, imports, and intracommunity acquisition of natural gas, briquettes and pellets of biomass, and wood for firewood to 5% until 31 December 2022.