Author: Bert Vandorpe

From 1 March 2026, the VAT rate on hotel stays and similar accommodation in Belgium will increase from 6% to 12%. The VAT administration recently published an FAQ on this rate change. Below, we explain some of the key points of this change.

1.       What exactly will change?

As part of the federal budget agreement, the VAT rate for the provision of furnished accommodation (with or without breakfast) and the provision of a place to camp will be harmonised at 12%.

Although the new measure has only now been finally confirmed, the rate increase is still scheduled to come into effect on 1 March 2026.

The new rate applies regardless of whether the accommodation (with or without breakfast) is provided by hotels and motels, guest rooms, B&Bs or other similar types of accommodation. However, accommodation facilities for the elderly, boarding schools, youth protection homes, shelters, psychiatric care homes, hospitals and the like are not subject to this rate change. The provision of space for camping refers to the provision of any site used for camping and on which tents, caravans and similar accommodation are placed.

An administrative tolerance is provided for. Namely, for reservations made no later than 28 February 2026 (i.e. before the new VAT rate comes into effect), the 6% VAT rate will continue to apply insofar as the VAT on those reservations becomes payable no later than 30 June 2026 (following payment, the issuing of an invoice or the overnight stay itself).

This transitional measure therefore does not apply:

• to reservations for stays booked on 1 March 2026 or later;
• for reservations for stays booked on or before 28.02.2026 but for which the VAT becomes payable (following payment, the issuing of an invoice or the overnight stay) on 01.07.2026 or later.
  
  

2.       What is the impact?

This change not only has a potential impact on your price and margin, but also has a very clear administrative impact. ERP, booking systems, websites, invoicing and price communication may need to be adjusted. Furthermore, the question arises as to what impact the rate change will have on cancellation or no-show penalties and additional services such as late check-out, early check-in, extra cleaning, luggage storage, equipment rental, vouchers, etc.

The upcoming VAT changes will have a significant impact on the sector. Our experts can therefore support you in carrying out a detailed impact analysis so that you can deal with the announced changes correctly. Do you have any questions or comments? Please do not hesitate to contact us.