When do you have to file your tax return?

Deadlines for filing the income tax return in 2018: On paper: 29 June 2018 Online via tax-on-web: 12 July 2018 Online via a tax adviser: 25 October 2018 For non-resident individuals, the deadlines for filing the income tax return in 2018 On paper: 8 November 2018 Online via tax-on-web: 6 December 2018 Online via a tax adviser: 6 December 2018 …

Tax authorities announce targeted audits

A few days before sending out the tax returns for 2017, the tax authorities announce on their website (FR/NL) which groups of taxpayers they will audit more specifically. For individuals, these are Company directors who deduct their actual business expenses instead of the lump sum deduction. The tax administration suspects that some directors artificially prove more professional expenses in order …

Constitutional Court Writes Obituary for Fairness Tax

The Belgian Constitutional Court has annulled the so-called fairness tax, abiding by a judgement of the Court of Justice of the European Union, from which the Constitutional Court had sought a preliminary ruling. However, contrary to what most observers had hoped, the Constitutional Court’s ruling does not cancel the tax retroactively, except in one specific situation. For more, read the …

Belgian Supreme Court Upholds Tax Treaty Precedence Over Domestic Law

The Belgian Supreme Court recently confirmed that Belgian tax authorities cannot hide behind the text of the domestic law to deny Belgian taxpayers the benefit of the Belgium-France tax treaty. (1971 protocol; 1999 protocol; 2008 protocol; 2009 protocol.) The case is a classic example of double taxation of dividends. French dividends are taxed at source at a reduced rate of 15 percent, and the …

Government agrees on budget and tax shift

Prime Minister Michel announced that his Government had reached an agreement on the budget for 2015 and 2016 and on a “tax shift” of €7.2 billion.  The government had to find an additional € 978 million to balance the budget for this year and to reduce the deficit to 2.5 percent as promised to Europe. An additional € 800 million …

New Tax Measures in the 2017 Budget Law

The State Gazette published the Act of December 25, 2016, which implements the 2017 budget along the lines announced at the time of the budget discussions in October 2016. To read more, click here.

Belgium Reaches Agreement on Budget

In the early hours of October 15, Belgian Prime Minister Charles Michel announced that his government had found an agreement on the 2017 budget. The three topics that were at the centre of the budget discussion — an in-depth reform of the corporate tax, a capital gains tax for individuals, and new measures to channel savings into the economy — have …

‘20 Percent for 2020’: A Scenario for Belgium’s Corporate Tax Reform

Caterpillar, a U.S. multinational corporation, recently announced its intention to close its plant in Gosselies, Belgium, where it manufactures heavy machinery. While the news was not unexpected, it still came as a shock to the 2,200 employees who will lose their jobs. In 2013, 1,400 jobs were lost in a restructuring. Walloon Minister-President Paul Magnette said he was shocked and …

Belgium Abolishes Patent Box, Introduces Innovation Box

Apart from the correction of a piece of legislation introduced at the end of last year (following Tate & Lyle), Belgium’s recently published Act of August 3, 2016, deals mainly with the abolition of the patent box, which provides an 80 percent deduction of patent income related to the development or enhancement of patents. To read more, click here.

A new Tax Regime for the Diamond Sector

Belgium’s controversial diamond regime, which the European Commission announced was in line with state aid rules, will enter into force for tax year 2017. Belgium’s July 24, 2015, program law introduced a special tax regime for diamond traders, in which they will pay tax on 0.55 percent of their turnover rather than on the actual profits from their diamond trading …