The due date for filing both the Belgian (non-resident) corporate income tax return and the local form ‘275 LF’ for assessment year 2019 is approaching: are you in control?

Tim Pieters 2 September 2019


Both the Belgian (non-resident) corporate income tax return and the transfer pricing local form ‘275 LF’ are due soon. Below is an overview of the filing requirements.

Corporate income tax return

Belgian companies (and non-resident entities) have the yearly obligation to file a Belgian (non-resident) corporate income tax return by the statutory deadline.

Filing a complete, timely and well-documented tax return is not only important to avoid penalties for not applying the correct tax treatment on a wide variety of expenses (and to ensure that all tax incentives are correctly applied for), but also to avoid unnecessary scrutiny by the Belgian tax authorities.

Following a recent communication of the Belgian tax authorities, Belgian companies (and foreign entities having a Belgian establishment) with a financial year that ended between 31 December 2018 and 31 March 2019 (both dates included) should, in principle, file their tax return by 26 September 2019.

However, Belgian companies with a financial year that ended on 31 March 2019 and whose general shareholders meeting to be held to approve the annual accounts was set to take place in August 2019 or September 2019 are granted an additional delay to 30 September 2019 and 31 October 2019, respectively. Non-resident entities with a financial year that ended on 31 March 2019 have until 31 October 2019 to file their tax return.

Individual delays can be applied for directly with the Belgian tax authorities. Practice, however, shows that such individual delays are rarely granted, and even then only in exceptional situations (i.e. extraordinary events behind anyone’s control, in other words ‘force majeure’).

Filing is done electronically via Biztax. In this respect, it is important to note that, in the future, it is very likely that the Biztax application for filing the Belgian (non-resident) corporate income tax return will also run via the MyMinfin Pro platform.

Transfer pricing local form ‘275 LF’

By the same due date, a transfer pricing local form ‘275 LF’ has to be filed by Belgian companies (and Belgian non-resident entities) that are part of an international or a Belgian group for which, in the financial year preceding the financial year most recently closed, at least one of the following criteria was exceeded (as determined on the basis of the annual accounts of the Belgian entity, i.e. not on a consolidated level):

  • operating and financial income, excluding non-recurring income, in the sum of EUR 50 million;
  • a balance sheet total of EUR 1 billion;
  • an annual average headcount of 100 full-time equivalent employees.

Since assessment year 2018, also section B of the local form needs to be completed if the threshold value of EUR 1 million of cross-border intra-group transactions is exceeded (to be determined on the basis of individual business units).

Filing is done electronically through the MyMinfin Pro platform, in XML format.

In the case of non-submission, late submission or incomplete submission of the form ‘275 LF’, your company is potentially liable to an administrative fine ranging from EUR 1,250.00 to EUR 25,000.00.

How can we assist you?                                                  

No time to prepare the tax return or the local form ‘275 LF’ in-house? Or do you wish a review of the deliverables?

Not fully up to speed with the latest tax changes or the transfer pricing reporting requirements?

Our PwC tax experts are glad to assist you with regard to the above and to answer all your questions. Do not hesitate to contact your local PwC engagement team.

Contact us
Tim Pieters
Director
+32 2 710 9328