When a tax resident of Belgium is physically carrying out (a part of) his or her employment activities abroad, it should be determined if and to what extent the work state may levy income taxes. Based on article 15 of The Belgian-Dutch double tax treaty, employment income derived by a tax resident of Belgium will
On 26 July 2017, the federal government reached a ‘summer agreement’ on an important tax, economic and social reform package. The tax reform is built around three pillars: budget neutrality, simplification and fair taxation. On top of the tax reform, several additional measures will be taken to boost job creation, with corresponding investments in the
The corporate tax reform that was announced last week as part of the reform package aims – once more – at strengthening the rules on the taxation of company cars for Belgian companies. The following update highlights some of the measures in this respect. Most of these measures should only apply as from 2020, with
On 26 July 2017, the federal government reached an agreement on an important tax, economic and social reform package. A significant gradual reduction in the corporate income tax rate to 25% in 2020 and fiscal consolidation are key components of the package. The agreement preserves the notional interest deduction. The tax reform is built around
Remark: The following announced measures will have to be formalised in draft legislation which should only be available as from September/October. Only then will full details be known. On 26 July 2017, the Federal government reached an agreement on an important corporate tax reform, significantly reducing the corporate tax rate. More details will follow below.
Taxation of French-sourced dividends: foreign tax credit available according to the Belgian Supreme Court
On 16 June 2017, the Belgian Supreme Court has reversed the current case law related to the granting of a foreign tax credit in Belgium with respect to foreign-sourced dividends received by Belgian private investors. The case concerned French-sourced dividends which, today, are normally taxed at a rate of 15% in France before being taxed