Circular letter on the mobility allowance and the consequences of the Constitutional Court Judgement
As described in our newsflash of 23 January 2020, the mobility allowance, better known as the Cash for Cars-system, has been annulled by the Constitutional Court (23 January 2020, published in the Official Gazette on 24 February 2020). Now, the Belgian Tax Authorities have published a short Circular letter clarifying the impact of this annulment
NEDC vs NEDC 2.0 vs WLTP: new (updated) FAQs regarding the percentage of deduction of professional car expenses and calculation of the BIK for employees
A new FAQ has been published by the Belgian Tax Authorities that explains which CO2 emission value has to be used for the calculation of the deductible rate of company car expenses (FAQ, 25 March 2020). Indeed, using the WLTP or even the NEDC 2.0 emission value will lead to an increase of the car
Royal decree implementing the mobility budget published
On the 29th of March the law of 17 March 2019 concerning the introduction of a mobility budget was published together with a royal decree implementing this law. In comparison with the draft law no changes were made to the published law. It is mainly the royal decree, which implements the law concerning the mobility
Mobility budget (and changes on mobility allowance) sent to parliament for approval
The draft legislation on the introduction of a Mobility Budget and the draft legislation on the changes to the law introducing a Mobility Allowance have been sent to parliament by the Federal government. As a quick reminder The idea of the mobility budget is (just like the mobility allowance) to stimulate employees who have a
The mobility allowance is already being revised
As from 1 January 2018, it is possible for employees to exchange their company cars for a mobility allowance – the so called ‘cash for cars’- which is subject to a beneficial social security & income tax treatment (see our newsflash of 25 May 2018). Now, after a short evaluation period, the Belgian Federal Government
Is your mobility strategy up to date?
The changing world of mobility In Belgium, cars are still the most frequently used means of transportation. Given the current tax and social security landscape, the company provided car is still a highly valued element in the reward scheme by many employees. Nonetheless, the landscape of the company car is changing with the upcoming new WLTP (Worldwide
