On 30 November 2022, new rules on various fiscal and financial provisions were published in the Belgian official Gazette. Starting from 1 January 2023, new rules will enter into force for Belgian companies or Belgian branches. The key tax measures in the law include the following:
- With the intention to strengthen the fight against international tax fraud, the Belgian Parliament approved tax authorities’ means and tools in investigating and assessing taxpayers’ information through data mining applications and introduce a claim for a penalty payment.
- Extension of the investigation and assessment periods, the retention period, and the period for filing an administrative appeal.
- The standard investigation and assessment period remains to be 3 years. However, this period can be extended up to 4 years in the case of no or late filing of the income tax return.
- In case of no or late filing or if the tax due would exceed the tax, based on a timely filed tax return, a new 6-year investigation and assessment period is introduced as a standard rule for tax returns with specific cross-border elements.
- A new assessment period of 10 years is introduced in case of a “complex” tax return.
- Eliminated the notional interest deduction for taxable periods ending from 31 December 2023.
- As from 1 January 2023, the foreign tax credit will be limited to the withholding tax actually paid in the source state, with a maximum of 15%.
