Flemish tax system to become 'fairer', with lower fines for minor mistakes
Finance minister Ben Weyts is introducing measures to make Flemish tax law fairer by reducing and preventing unnecessary fines. "We have to be tough on wilful fraudsters, but also fair to people who make a mistake or forget something," Weyts said.
Flemish tax authority Vlabel currently collects between 6 and 7 million euros in fines each year. Under the new approach, Vlabel will focus more on helping taxpayers submit correct declarations. When minor violations or imperfections occur, taxpayers will first receive a notification with a proposed correction, without a penalty.
The Flemish government will also reduce several fine amounts. Very high fines will be scaled down, such as the penalty for failing to complete a major energy renovation on time: previously up to 5,000 euros, the maximum will now be 500 euros. The maximum tax increase for inheritance tax and some registration duties will be halved from 20 per cent to 10 per cent.
In addition, more lenient rates will apply for people who report mistakes themselves. Taxpayers who come forward voluntarily within two months of the deadline will not face a tax increase. Those who report errors after the deadline will face an increase of 5 or 10 per cent, unless they make a voluntary disclosure.
"You should not immediately churn out high fines at the slightest mistake or imperfection," Weyts said. "Then you might bring in extra money, but you lose the trust of the Flemish people."
The right to err
This is the second leniency measure that the Flemish government has implemented recently. Two weeks earlier, it introduced a proposal for the "right to err", meaning that people who make an honest mistake on a form, or who submit an application or certificate slightly late, will no longer automatically face severe consequences.
However, this right comes with several conditions. The mistake must have been made in good faith and be correctable. Authorities will be able to request additional information to assess this. It also does not cover repeated errors, and the government will also not be obliged to correct them.
#FlandersNewsService | © BELGA PHOTO PHILIPPE FRANCOIS
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