What are the tax benefits?
You can qualify for a number of tax deductions and exemptions:
- notional interest deduction: deduction of a deemed interest rate on venture capital funding gives you a lower tax base and, therefore, a lower effective rate.
- deduction on definitively-taxed income
- paid dividends up to 95% tax exempt
- interest deductible if you take out a loan to acquire the shareholding
- investment deduction on investment in new assets
- 8% for SMEs, irrespective of investment type
- investments in energy savings
- investments in R&D
- a 95% net exemption on innovation earnings from patents, copyrighted software, variety rights, etc.
- unrestricted carry forward of tax losses to following years
- transfer of VAT on imported goods: no need to pay the VAT, or a guarantee, in advance
- federal tax exemption on a number of regionally awarded subsidies
- reduced social security contributions for employers
- same tax calculation for employment through a Belgian establishment or a Belgian subsidiary
You enjoy an advantageous effective tax rate lower than the nominal rate of 33.99%.