After receiving the approval of the House of Representatives, the Senate on February 1, 1995, approved certain modifications to the Law on Eco-taxes.

This new Law, requested by the Eco-tax Commission, will postpone the entry into force of the Eco-tax on batteries until July 1, 1995. Except for batteries with mercury oxide, the new Law will allow an exemption for this Eco-tax not only on the basis of a deposit system ("consigne/statiegeld") but also on the basis of a system of returned empties ("prime de retour/retourpremie") provided certain conditions are met. The deposit or return premium must for instance be at least 10 BEF and the tax debtor must evidence the financing of the adequate treatment or recycling of returned batteries.

Since April 1, 1994, packaging for beer, aerated water, cola and other fizzy drinks are subject to an Eco-tax. An exemption can be obtained, under certain conditions, if certain percentages of re-use and/or recycling are met. Anyone who could show that he had taken the necessary measures to comply with such conditions on December 31, 1994, was deemed to have complied with such conditions before that date and could therefore also request an Eco-tax exemption. The new Law will extend this neutralisation period to June 30, 1995. It is the intention of the Eco-tax Commission to finalise in the meantime a new system exempting re-usable packaging and reducing the Eco-tax in function of the recycling percentage achieved; thereafter, the Commission intends to extend the Eco-tax to all beverage packaging.

Presently, there is an exemption from the Eco-tax on disposable cameras if 80% of the components are re-used for cameras of the same type; a reduced Eco-tax of 100 BEF applies for such cameras if 80% of the components are recycled components. The new Law will abolish the latter category and will fully exempt disposable cameras if the tax debtor evidences the organisation of a system of recovery of used cameras guaranteeing that at least 80% of the returned cameras are being reused or recycled.

Although the new Law has not yet been enacted and published, a publication made in the Belgian State Gazette of January 5, 1995 confirms that the administration will already apply these new rules as of January 1, 1995.

The content of this article is intended to provide general information on the subject matter. It is therefore not a substitute for specialist advice.

De Bandt, van Hecke & Lagae - Brussels. (32-2)517.91.40. For further information contact Vincent Macq on + 32.2. 517.94.47.