VAT: half-yearly advance payment due by December 26

Professionals who have opted for the simplified VAT system must pay this tax in several instalments. The second installment of 2023 is due between December 15 and 26, and corresponds to 40% of the previous year's tax.

Simplified real-estate regime

The simplified VAT scheme is aimed at businesses with sales of goods of between €91,900 and €840,000, excluding VAT ; sales of accommodation (excluding furnished rentals) of between €91,900 and €840,000; and sales of services of between €36,800 and €254,000.

In addition to the simplified system, there is the basic VAT exemption system, which exempts you from paying VAT, and the normal actual system. The choice of system depends on the amount of sales generated. Entrepreneurs may also opt for the higher system.

How do I pay VAT?

Companies covered by the simplified VAT regime are required to pay two half-yearly instalments, using form 3514, accompanied by an electronic payment, which will be debited from their business account. They are also required to submit an annual declaration using form 3517-S after the end of the financial year.

What are the payment dates for the two instalments in 2023?

The first installment for 2023 was paid in July and corresponds to 55% of the VAT due in July 2022.

The second installment is due between December 15 and 26, 2023, and corresponds to 40% of the VAT due for the previous year.

Good to know: companies that paid less than €1,000 in VAT the previous year are not required to make an advance payment the following year.


What should I do if I make an error in calculating the down payment?

Some professionals don't pay the VAT instalment due, because they feel they don't owe it. In this case, to avoid being penalized, it is necessary to pay two half-yearly VAT instalments, then file the CA12 return to regularize the situation.

Several situations may justify suspension or adjustment of the advance payment due under the simplified real estate regime:

  • The amount of advance payments already made is at least equal to the amount of tax finally due;
  • Estimated VAT is at least 10% higher than that used as a basis for advance payments;
  • A partial payment has been made in respect of the first instalment, and this represents the balance of the tax which the entrepreneur estimates he owes for the current year.

If you have any doubts about the amount of advance payment due, don't hesitate to contact your local tax office.