Belgium: new agreement on Tax Shift
On 10 October 2015, the Belgian federal government reached a new agreement on the so-called “tax shift”. The tax shift is the shift from tax on labour to other taxes. The objectives of the tax shift are: To respect the budgetary engagements; A revival of the economy by creating more jobs; Reducing labour taxes to
Is your upper-tier structure BEPS-proof?
The OECD BEPS Action Plan and parallel developments impact each layer of a multinational structure, including the upper tier. Specifically, having insufficient relevant substance at upper tier level could cause your return on investment to decrease significantly (by up to 25% based on the current Belgian withholding tax rate). On top, we expect that the
Biztax filing deadline postponed to 7 October 2015
The Federal Public Department of Finance announced today that the deadline for filling tax returns via Biztax is postponed to 7 October 2015 due to IT problems. This extended deadline applies to tax returns that relate to: corporate income taxation (residents and non-residents); and legal entities income taxation. Initially, the deadline was set at 30 September 2015
Notional interest deduction rate for tax year 2017 is 1,131%
The Belgian NID rate for tax year 2017 (accounting years ending between 31 December 2016 and 30 December 2017, both dates included) would be 1,131%. For SMEs (Small and Medium-sized Enterprises), the NID rate would be 1,631% for tax year 2017. According to article 205quater, §2 of the Belgian Income Tax Code (“BITC”), the NID
Reporting obligation for payments to tax havens: impact for payments to Cyprus and Luxembourg
Companies subject to Belgian corporate income tax (residents or non-residents) have to declare direct or indirect payments exceeding EUR 100,000 to recipients established in ‘tax havens’. For these purposes, a tax haven is defined as a country: with no or low taxation (i.e. the nominal standard tax rate is less than 10%); that, for the
Belgium: agreement on tax shift
On 23 July 2015, the Belgian federal government reached an agreement on the so-called “tax shift”. The tax shift is mainly aimed at i) reducing the tax burden on labour, ii) improving the competitiveness of Belgian companies and iii) creating more jobs. It involves the introduction of a number of new tax measures that may impact
Federal Public Department Finance launches new centres for ‘large companies’
‘Large companies’ The Belgian government has changed the way tax audits and dispute resolution for large companies are being organised. More in particular, 7 new centres for ‘large companies’ and a centre for ‘large companies management and specialised tax audits’ are set up as from 1 July 2015. 7 centres for ‘large companies’ The 7 new
Global Tax Accounting Services Newsletter (April – June 2015)
This release is designed to help multinationals stay aware of tax accounting and regulatory developments under US GAAP and IFRS, whilst providing some technical guidance on challenging tax accounting areas. The topics featured in this edition are amongst others: The Financial Accounting Standards Board’s exposure draft on tax accounting for stock compensation The status of
