Factsheet for case BE-2020-24/970 – measures in Belgium
|Country||Belgium , applies nationwide|
|Time period||Temporary, 08 June 2020 – 31 December 2020|
|Type||Legislations or other statutory regulations|
Promoting the economic, labour market and social recovery
– Support for spending, stimulus packages
|Author||Dries Van Herreweghe (Katholieke Universiteit Leuven) and Eurofound|
|Case created||13 July 2020 (updated 16 July 2020)|
On 6 June 2020, the Council of Ministers approved a draft royal decree to reduce the VAT rate applicable to certain restaurant and catering services.
Despite the designation 'restaurant services', this also concerns the provision of nonfood drinks (if accompanied by a sufficient number of relevant additional services) in all possible on-trade outlets (cafés, taverns,...). This measure will apply to all permanent or temporary establishments providing restaurant or catering service
As a result of this Royal Decree, from the 8th of June 2020 until the 31st of December 2020 a reduced value added tax rate of 6% will apply to restaurant and catering services, excluding the supply of beers with an actual alcoholic strength by volume exceeding 0.5% as well as other beverages with an actual alcoholic strength by volume exceeding 1.2% by volume.
There will be no exceptions other than the alcoholic beverages mentioned above. This means that dishes with products that are even priced at 21% (caviar, crawfish, lobsters, crabs, oysters, ...) are also subject to the 6% VAT rate.
There is no registration of the uptake of the measure, given the general nature of the measure, it can be estimated that the majority of the sector can make use of it.
|Does not apply to workers||
Sector specific set of companies
||Does not apply to citizens|
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Form||Not applicable||Not applicable|
Social partners' role in the implementation, monitoring and assessment phase:
No information is currently available on the concrete involvement of the social partners in the drafting of the measure.
No public statements to be found on the specific measure. Employers organisations like Unizo are providing information and informative sessions to their members to explain clarify.
|Economic area||Sector (NACE level 2)|
|I - Accommodation And Food Service Activities||I55 Accommodation|
|I56 Food and beverage service activities|
This case is not occupation-specific.
Eurofound (2020), Temporary tax reduction in the HORECA sector, case BE-2020-24/970 (measures in Belgium), COVID-19 EU PolicyWatch, Dublin, http://eurofound.link/covid19eupolicywatch
Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process. All information is preliminary and subject to change.