A competitive tax system

Belgian Limburg offers a number of advantages for all companies.

Notional interest deduction

Businesses can reduce their taxable basis by investing their own capital. The notional interest deduction consists of a fictitious rate applied to the ‘corrected’ equity. Notional interest rate for 2011: 3.425% for large corporations and 3.925% for SMEs.

Dividend tax exemption

Belgium has signed a double tax convention with several countries. Using Flanders as the holding location for their European investments allows foreign investors from these treaty countries to rapatriate their profits without paying dividend tax.

Fiscal status of foreign managers

A special tax system under personal income tax law for foreign managers transferred to Belgium or temporarily working in Belgium is applied. Employers of foreign managers who were granted a special status can enjoy considerable savings.