In order to clear away the competition handicap with our neighbouring countries, encourage investment and further simplify VAT regulations, it was decided to introduce an optional VAT levy for the leasing of buildings or parts of buildings to professionals.
The option will need to be exercised by both the landlord and the tenant who is subject to VAT. The new rules will only apply for new-build projects, including substantially renovated buildings. If this system is chosen, an adjustment period of 25 years will apply.
From 1 January 2019, provision must also be made for a mandatory VAT levy on short-term property leasing, except for the leasing of residential property or immovable property destined for socio-cultural activities.
You can find a more detailed overview of these rules in this article.