Belgium floats proposals for aviation taxes/charges to offset cuts in other areas

18 August, 2021
Belgium's High Council of Finance (HCF), via a taxation policy document, suggested it could suspend a series of tax exemptions for the aviation sector in the country as part of efforts to offset lower labour taxes (aviation24.be, 17-Aug-2021). Proposals include:
  • Introduction of an excise on aviation kerosene, equivalent to that already imposed on diesel and gasoline. This would generate an estimated EUR1.15 billion p/a in tax revenue;
  • Introduction of a 6% VAT on airfare purchases, estimated to generate EUR202 million;
  • Application of a EUR10 per person boarding charge for departing passengers, including for transit and transfer passengers, generating an estimated EUR142 million.