Transfer pricing documentation has become an integral part of the compliance obligations of Belgian entities since financial year 2016. A Belgian company (or a branch) that is a part of a multinational group will have to submit the form 275 LF (Local file) and the form 275 MF (Master file) in case one of the following thresholds is exceeded (based upon the Belgian GAAP annual accounts of the preceding year):
- Operational and financial revenue of at least EUR 50 million;
- Balance sheet total of EUR 1 billion;
- Annual average number of employees of 100 full-time equivalents.
Additionally, Belgian entities that are part of a Multinational group with a consolidated gross revenue of EUR 750 million or more have to meet the Country-by-Country reporting notification obligation (i.e. 275 CBC NOT and/or 275 CBC in case they are also the ultimate parent entity).
The Belgian administration has now published adjusted transfer pricing documentation forms and guidance. The adjusted forms (275 LF, 275 MF and 275 CBC NOT) and explanatory notices were included in the Royal Decree dated 16 June 2024 and were published on 15 July 2024 in the Belgian Official Gazette (Belgische Staatsblad / Moniteur Belge). The adjusted forms will come into effect from financial years starting per 1 January 2025. So there will be no changes for the upcoming filings.
Looking at the revised forms: the most significant adjustments are on the form 275LF where transactions in Part B must be completed per country instead of aggregating the countries and the form 275CBC NOT where a notification can be the first notification, a change in the previous notification or a termination of the notification if the Belgian entity is no longer part of the Multinational group.
Please contact Carla Buyens, Stefaan De Baets, Laura Michiels or your usual contact at PwC for further information.
