In Belgium, the acquisition of real estate, building or land, is taxed. Most often, it is the registration duty at 12.5% in Brussels and Wallonia and 10% in Flanders.
However, if we are talking about a new property, the sale will generally be subject to VAT (21%) rather than registration duties (12.5%).
As a result, the seller will be able to recover the full VAT paid upstream, on the construction or the sale price of the property.
The sale price includes:
- the registration duties on the land.
- the “construction” part subject to 21% VAT.
- It is necessary to add the notary fees and costs calculated on the total value.