Pieter Timmermans, the delegate administrator for the Belgian Business Federation (FEB), is happy with the government’s decision to consolidate taxes in 2019 rather than 2020. “This will provide clarity and judicial security for businesses in 2018 and 2019”, he told the Belga agency.
Tax consolidation allows a business to share its profits and losses between several entities. Back in the summer the government said it would introduce it in 2020, but has moved it forward to 2019 to include it in the Company tax reform.
“This is a fundamental breakthrough and I would even go as far as a revolution, as we having been asking for this for 30 years”, Pieter Timmermans explained. “Belgium is the only European country where this system did not exist”. Mr Timmermans says the German tax consolidation model is the “Rolls Royce of systems”. However the Swedish system, which Belgian authorities have drawn inspiration from, is a “good intermediary”.
(Source: Belga)
