Benefit in kind – Private use of a company car: updated formula for 2017
The new reference CO2 emission for calculating the taxable benefit in kind for the private use of a company car in the hands of company directors and employees has been published on 5 December 2016 (Royal Decree of 24 November 2016). For income year 2017, the following CO2 emission will be applied to the above
Update on the special tax system for foreign executives in Belgium
Recently, there have been rumours about possible changes to the special tax system for foreign executives in Belgium, creating some uncertainty around it. From the privileged contacts PwC has with the tax authorities, it appears there is no intention to change the special tax system as such but rather that the Finance Cabinet is open
Costs proper to the employer – homeworking
If certain conditions are met, no income taxes and no social security contributions are due on allowances which are attributed as a ‘repayment of costs proper to the employer’. The National Social Security Office has recently decided to increase the maximum lump-sum allowance which can be attributed as a cost proper to the employer for
Company-provided family allowance – exempted from social security contributions
Companies can, for example within a flexible reward plan, opt to grant their employees (with children) a so-called ‘family allowance’, which is an additional child benefit on top of the statutory child allowance. Recently, the Belgian Supreme Court has decided that such allowances are not to be considered as “salary” for social security purposes. Consequently,
Increase of purchasing power of employees for 2016 and 2017
We hereby inform you that the industrial partners have concluded a new sectoral agreement for Joint Committee (JC) 200 for the years 2016 and 2017. This JC replaces the previous JC 218 and is applicable to your firm in Belgium. After the index leap and the limited maximum margin for wage increase for 2014 and 2015 (see
Progress regarding implementation of Single (work and residence) Permit Directive
The EU Single Permit Directive 2011/98/EU requires the member states to adopt a single combined work and residence permit application procedure, and it needed to be transposed into national legislation by 23 December 2013. In Belgium, the implementation of the Directive suffered quite some delay. The reason for this is that the residence permit related
End of year is approaching: rules of the game for gift vouchers
One option to reward employees in a tax-friendly manner at the end of this year is to provide them with a gift, i.e. gifts in kind or in cash, or vouchers for books, sporting and cultural events, movies, etc. As a general rule, gifts are in principle considered as remuneration and thus subject to social
Indexation of minimum required salary for work permit of highly-qualified and managerial employees
In order to obtain a Belgian work permit for individuals in the capacity of highly qualified or managerial employees, a specific minimum salary has to be observed, as provided under Belgian immigration law. This minimum salary is indexed every year. Our office was informed by the immigration authorities of the Brussels Region about the indexation of
