Home working expense allowance – update


On 12 February, the Minister of Finance, Mr. Vincent Van Peteghem announced that some fiscal support measures will, further to the Covid-19 pandemic, be extended. One of these measures relates to the home working allowance.

Since the government thinks that many companies will continue encouraging home working after the Corona Crisis, the tax-free allowance for those who structurally continue to work from home will be maintained (i.e. EUR 129.48 per month). Note that employers are not obliged to pay this allowance. Moreover, the payment of this amount requires structural home work (i.e. 5 days of home working per month). On top of this amount, the employer can pay a cost allowance covering the private subscription of the internet used for business purposes (EUR 20,00 per month) and the business use of the private PC (also EUR 20,00 per month).

For the second quarter of 2021 (April, May and June 2021), the maximum home working allowance (EUR 129.48 per month) may temporarily be increased to EUR 144.31 per month to better reflect actual costs related to the home office. Moreover, the Minister seems to suggest that, in addition to the above allowance, the reimbursement of office furniture/computer equipment is also possible.

We are happy to brainstorm with you on the new normal and on how this will impact your cost reimbursement policy.

Feel free to contact your regular PwC contact person or Philip Maertens.