As indicated in our newsflash of 9 February 2022, the Belgian National Social Security Office aligned its position with the position of the Belgian tax authorities regarding non-taxable allowances granted within the framework of the new special tax regime. This means that the non-taxable allowances are exempt from social security contributions. However, article 19 of the Royal Decree of 28 November 1969 still had to be adjusted and the previously confirmed position was thus subject to final approval and signature of the amending Royal Decree.
In the Belgian Official Gazette of 30 March 2022, the Royal Decree of 17 March 2022 adjusting article 19, §2, 4° of the Royal Decree of 28 November 1969 was published. Consequently, cost allowances that are attributed in the framework of the new expat tax regime are by law excluded from the notion of salary for the calculation of social security contributions. This Royal Decree entered into force retroactively as of 1 January 2022.
We will keep you updated on any further developments.
If you have any further questions, please do not hesitate to contact Sandrine Schaumont or Philip Maertens.