House-bonus system should remain The business newspaper L’Echo reported on Wednesday (28 September) that the Economic and Social Council of the Brussels Region criticizes heavily the Brussels tax reform. The Council brings together representatives of employers and trade unions.
In an opinion issued already on September 15, the Council considers in particular that the removal of the so-called house-bonus will become a burden on public finances and increase property prices in the capital.
Under the house-bonus system, house buyers enjoy a major tax benefit, as part of the monthly mortgage is tax-deductible. The amount gained via the annual tax return can equal two or three monthly mortgage payments.
The social partners also denounced the tax on banking and financial institutions and ATMs because they fear it might have a negative impact on trade.
However, on the positive side, the Council favors moving part of the tax burden toward property tax through additional regional percentages on personal income tax.