E-invoing in Belgium
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Last updated at
July 5, 2025
In Belgium, an individual or a company will need to pay tax on the income or profit earned. So it is important to understand the basics of the income tax system. This guide will help you learn about the types of tax, the rate of tax, the use of deductions and allowances, and the steps for filing and payment.
The Belgium income tax system collects tax from individuals and companies based on income or profits to fund public services and applies higher rates on higher earnings to support fairness and fiscal balance.
There are two main types of income tax in Belgium
Personal income tax in Belgium is a tax on the income of an individual and it applies to various types of personal earnings. The tax system is progressive and the rates will increase based on the amount of income earned. The rates start at 25 percent and go up to 50 percent.
Personal income includes various types of earnings such as:
A resident of Belgium
A resident will pay tax on the worldwide income, including income earned in Belgium and in other countries.
A non-resident of Belgium
A non-resident will pay tax only on the income earned from Belgian sources such as:
| Taxable Income | Tax Rate |
| Up to €15 820 | 25 % |
| €15 820 to €27 920 | 40 % |
| €27 920 to €48 320 | 45 % |
| Above €48 320 | 50 % |
The personal tax allowance in Belgium is a part of the income that will not be taxed. Every individual will receive this allowance as a basic reduction on the taxable income.
The amount of the allowance will increase if a person has dependent children, is a single parent, or supports a disabled family member.
If the income stays below the allowance, the person will not pay personal income tax. If the income is higher, only the amount above the allowance will be taxed.
| Type of Deduction | Details and Amount | Conditions |
| Social Security Contributions | Fully deductible | Applicable to both Belgian and foreign contributions |
| Actual Professional Expenses | Deductible when substantiated | Covers employment-related expenses |
| Standard Deduction for Employees | 30% of gross earnings, max €5,930 | Alternative to actual expenses |
| Standard Deduction for Directors | 3% of earnings, max €3,130 | Flat rate for remunerated directors |
| Support (Alimony) Payments | 80% deductible | To close relatives or separated spouse (resident of Belgium) |
| Pension Savings | Max €1,050 or €1,350 | 30% or 25% tax reduction depending on option chosen |
| Group Insurance Contributions | 30% tax reduction | Employee-paid premiums |
| Charitable Donations | 45% tax reduction | Minimum €40, must be to recognised EEA institution |
| Life Insurance Premiums | 30% tax reduction, max €2,530 | Subject to qualifying policy |
| Childcare Expenses | 45% tax reduction, max €16.90/day | For children under 14, income year 2025 |
| Mortgage Repayment | Varies | Applies to capital repayment of home loans |
| Service Vouchers | Varies | Used in local employment agencies |
| Security Measures | Varies | Home protection against theft or fire |
| Renovation Expenses | Varies | Applies to eligible real estate projects |
| Basic Exemption | €10,910 | Available to every individual taxpayer |
| Child-Based Exemption | Up to €18,510 | Increases with number of children |
| Additional for Children under 3 | €740 per child | Applies only if no childcare deduction used |
| Other Dependents | €1,980 per person | Includes elderly or disabled relatives |
| Disabled Dependents | Counted as 2 dependents | Applied within exemption scale |
Every individual liable for personal income tax in Belgium must file an annual tax return for the previous income year. The return calculates the final tax payable after considering withheld taxes, deductions, and exemptions.
Deadlines for Filing (Assessment Year 2025 / Income Year 2024)
30 June 2025: If filing by post (paper return or adjustment to simplified proposal).
15 July 2025: If filing online via MyMinfin.
16 October 2025: If you declare specific incomes like self-employment or foreign professional income.
MyMinfin (Tax-on-web) is the preferred platform.
Paper forms are available in limited cases.
After Submission
You can track the status of your return in MyMinfin.
Between August 2025 and June 2026, the administration will send a tax assessment notice (avertissement-extrait de rôle). This shows your final tax calculation and indicates whether you owe tax or are due a refund.
Payment
Any tax due must be paid by the date on the tax notice.
Payment details and structured references will be provided in the notice.
If taxes have already been withheld (e.g., through payroll), the amount due may be adjusted accordingly.
Delays and Penalties
You may request an extension only in exceptional cases (e.g., serious illness or fire), and the request must be justified and submitted before the deadline.
Late or missing declarations may result in fines or automatic taxation based on estimated income.
Late payments will trigger interest charges.
You can authorize a trusted person or accountant to file your return through a secure digital mandate.
If needed, you may revise a filed return online or by contacting the tax office.
A free simulation tool (Tax-Calc) is available to estimate your tax anonymously.
| Deduction | Description | Rate |
| Depreciation | On fixed assets over useful life | Varies by asset |
| Interest Expenses | Deductible if incurred for business purposes, at arm’s length, and within 30% EBITDA limits | Conditionally deductible |
| Bad Debts | Deductible if proven irrecoverable and written off | Fully deductible |
| Provisions | For specific risks and charges | If conditions met |
| Notional Interest Deduction | On equity financing | 0.443% (0.663% for SMEs |
| Investment Deduction | For eligible new assets | 10% or more |
| Dividend Received Deduction | On qualifying dividends | 100% |
| Patent Income Deduction | On innovation income | 85% exempt |
| Management Fees | If justified and arm’s length | Fully deductible |
| Charitable Donations | Deductible if to approved institutions | Capped |
| Director Salary (SME rule) | Required minimum salary for reduced rate eligibility | €45,000 or equal to taxable income |
Every company subject to Corporate Income Tax (CIT) in Belgium must file an annual return using the official form 275.1. This declaration must be submitted electronically through the Biztax platform.
Assessment Notice: Once the return is reviewed, a tax assessment notice will be issued. This document specifies the tax due or any refund.
Payment Deadline: The tax must be paid within two months of the issue date of the assessment notice.
Advance Payments: Companies are encouraged to make quarterly advance payments to avoid a tax increase. Insufficient prepayments may lead to a 6.75% tax surcharge (as of 2025).
Payment Method: Payment must be made to the bank account of the Belgian tax administration, using the structured communication provided in the notice.
Late Filing or Payment
Failure to file or pay on time may result in penalties, interest, or estimated assessments based on the administration’s data.
In Belgium, both individuals and companies need to pay tax and the country also has various types of taxes so it is important to understand all obligations and follow the tax regulations. You must file and pay tax on time otherwise you may face penalties or additional payments.
FAQ
1.Who needs to pay income tax in Belgium?
Every individual or company that earns income in Belgium will need to pay tax.
2. Do I need to pay tax if I live in Belgium?
Yes, if you earn income, you must pay tax.
3.What are the main types of tax in Belgium?
Personal Income Tax and Corporate Income Tax.
4.How can I file personal tax in Belgium?
You can file online on MyMinfin or use paper in some cases.
What if I miss the tax deadline?
You may get a fine, pay interest, or be taxed based on an estimate.
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