The amount that Belgium needs to recover from multinational companies (MNCs) for “excess profit rulings” struck with the Belgian taxman will, no doubt, exceed 700 million euros. The previous estimate did not take account of written tax ruling values for the year 2014, or a tax base of at least 454 million euros, the Finance Minister Johan Van Overtveldt stated during a parliamentary committee.
Belgium entered into such excess profit rulings with 36 companies. It suspended the regime after a European Commission investigation was opened in February 2015 for so-called “illegal state aid”.
The government has not yet decided if it will appeal the Commission’s decision which ordered Belgium to demand repayment of sums which were considered to amount to state aid to MNCs.
Christopher Vincent (Source: Belga)