Financial Advice for Expats in Belgium

The Belgian tax system can be perceived as complex, as it combines both federal and regional taxes and rates alongside municipal taxes. This makes precise planning essential, as expats who spend more than 183 days a year in the country or make Belgium their primary home may need to budget for:

• Income Tax: Progressive rates from 25% to 50% on worldwide earnings
• Social Security Contributions: Deducted at 13.07% on employment income, plus monthly contributions based on net taxable family income
• Savings Income Tax: Taxes range from 15% on interest earnings arising from regulated savings accounts, up to 30% on dividends, other interest and investment incomes
• Capital Gains Tax: Most gains made within a private estate are exempt, but a tax rate of up to 33% can apply against speculative gains and realised gains made against financial assets after allowances
• Wealth Tax: Belgium does not levy an annual wealth tax, although it has a yearly solidarity tax of 0.15% for residents with securities worth €1 million or more

If you remain a non-resident, you may still be required to account for Belgian tax on locally sourced earnings, such as rent, dividends, and Belgian pension income. Our local advisers will ensure you meet all filing obligations and have clarity over your tax position.

Yes. Belgian tax residents and non-residents with assets or income in the country must submit an annual return, called Form 275, by June 30th each year or by July 15th if filing online. Our end-to-end tax compliance services include:

1. Income Reporting: Calculating and reporting salaries, pensions, investment and rental income
2. Foreign Income Disclosure: Applying double tax treaty reliefs to avoid duplicate taxation
3. Deadline Management: Preparing and submitting returns on your behalf
4. Audit Support: Liaising with tax authorities if questions arise

We handle every step to ensure you stay fully compliant and have the assurance that your tax affairs are being properly managed.

There are several potential ways to manage pension transfers, and your decision-making should always be informed by expert support, avoiding costly errors or inefficient transfer processes that carry significant tax obligations.

• Pension Transfer Options: Advice on choosing between ROPS, SIPPs and other pension structures
• Tax Impact Analysis: Assessing your anticipated Belgian pension taxation obligations
• Transfer Logistics: Managing the practicalities of pension transfers in adherence with EU, UK and Belgian regulations
• Currency and Timing Advice: Minimising foreign exchange risks and optimising transfer dates

Pension transfer planning is complex and client-specific, and our role is to help you select the optimal solutions that will maximise your retirement income and minimise tax exposure.

Belgium’s succession laws vary between the three regions of Flanders, Wallonia, and Brussels. Expats also need to consider forced heirship rules and whether they wish to make provisions to protect their right to distribute their assets and wealth in a different way.  

• Forced Heirship: Children and spouses are entitled to fixed proportions of your estate should you not make alternative arrangements
• Inheritance Tax: Rates range from 3% to 30% depending on the region and the relationship between the heir and the estate owner
• Regional Variations: Expats must understand the contrasts in allowances, exemptions and tax rates depending on where they live, and where their assets are based 
• Trust & Will Solutions: We craft regionally-compliant wills and asset holding structures to safeguard your wishes and minimise tax obligations against your estate

Chase Buchanan offers tailored estate-planning assistance and can draw up legally enforceable Belgian wills, asset holding structures and trusts to ensure your estate is managed and distributed according to your specifications.

The relevant visa or permit will depend on your specific circumstances, with a wide range of visa categories available for professionals, entrepreneurs, investors, and retirees, among others. 

Our financial management and advisory team can provide more personalised guidance around some of the most popular visa routes, including:  

• Professional Card: A work permit granted to self-employed individuals or business owners
• EU Blue Card: A residence and work permit available to non-EU highly-skilled professionals with a job offer in Belgium
• Immigrant Investor Program: A region-specific scheme that grants temporary residency, and potentially onward permanent residency, for substantial economic contributions, with applications assessed on a case-by-case basis
• Type D Long-Stay Visa: A visa category open to applicants with evidence of the financial means to support their needs, often used by retirees and high-net-worth expats

Selecting the right visa route is essential, and our expat advisers can offer guidance to help you through every step of your residency application.

The Belgian tax authorities levy various taxes against real estate ownership, some of which apply regardless of whether the owner is a tax resident. We can advise on the correct tax obligations for planned purchases in Belgium or existing real estate ownership, such as:

• Property Registration Duties: Payable on a property purchase, with rates from 2% for individual ownership up to 12.5% against the purchase price, with varying taxes chargeable in each region
• Annual Property Tax: A regional ‘précompte immobilier’ of up to 3.97% based on the cadastral, or assessed, value of the property
• BTW/TVA/MWSt: An equivalent sales tax to VAT, with rates of between 6% and 21% applied to new constructions or reconstructed properties, instead of registration tax
• Capital Gains Tax: Charged at 16.5% plus municipal taxes for properties sold within five years, or for second property sales  

Whether you intend to buy a permanent home, expand your investment portfolio, or already own a permanent residence, we will ensure you understand which taxes apply, how to budget correctly, and the opportunities available to optimise your real estate investments.

Yes. Non-residents can own Belgian real estate, but the tax obligations they need to budget for will differ:

• Rental Income Tax: Variable rates depending on whether the property is furnished, calculated on the assessed cadastral income plus a nominal 40% uplift
• Capital Gains Tax: Applies if owners sell within five years, at a rate of 16.5% or at any point if the property is not a primary home

We’ll advise on the best approaches for you, whether you are considering the pros and cons of becoming a Belgian tax resident or want to assess your net returns from a rental investment as a non-resident.

Belgian tax law does not recognise UK tax wrappers, which means products like ISAs become far less tax-efficient overseas. You need to consider:

• Savings Income Tax: A tax charge of up to 30% on earnings arising from UK ISAs and other bonds or savings products 
• Loss of UK Reliefs: Annual ISA allowances cease to apply for expats who become overseas residents, and Premium Bond prizes become taxable

Our wealth management specialists can provide strategic advice to help you determine the best way forward, whether selling, transferring or retaining assets before you move, with a focus on minimising your overall tax burden and preserving the value of your savings.

If you have decided to sell a UK property before or after your move, we’ll help you time your sale for maximum tax efficiency, while ensuring you manage your UK and Belgian tax exposure. This involves the following considerations:

• Private Residence Relief: A tax exemption against gains made on the sale of your main UK home, which is only available while you’re a UK tax resident
• Belgian Capital Gains: Liabilities to pay capital gains against properties owned for less than five years, including overseas real estate for tax residents 
• Residency Status Impact: Understanding how UK property ownership may affect your assessment as a tax resident or non-resident in Belgium 

We’ll provide comprehensive assistance to ensure you know how best to coordinate the timing of your sale and relocation to keep tax burdens to a minimum.

Tax reliefs and allowances against savings, investment and dividend income vary, and we recommend personalised approaches that protect the value of your assets while optimising tax efficiency. That may mean reviewing:

• UK Exemptions: Evaluating the pros and cons of transferring investments or savings products before relocating, while UK capital gains tax applies, or where there are unused allowances to take advantage of
• Double-Taxation Relief: Applying double tax treaties to ensure transactions or restructures are taxed at a beneficial rate, and without a risk of paying duplicate tax liabilities  
• Reinvestments in Private Pensions: Self-invested personal pensions (SIPPs) in the UK and Private Pension Plans in Belgium offer tax-deferral benefits that may be advantageous

An informed strategy can significantly impact the taxation burdens associated with savings and investments, while ensuring you access all available allowances in both the UK and Belgium. 

US citizens or those with ties to the US must comply with the rules outlined in the American Foreign Account Tax Compliance Act (FATCA). The regulation obligates citizens and green card holders living in different jurisdictions to share information about their accounts and assets held overseas. 

Our specialised US-Connected Persons service guides you through:

• FATCA Reporting: Filing IRS Form 8938 and a Report of Foreign Bank and Financial Accounts (FBAR) on your behalf to disclose Belgian bank accounts, investment holdings and trusts.
• Withholding & Compliance: Ensuring US withholding rates, where applicable, are applied at the correct rates against Belgian-held savings and accounts. 
• Coordinated Advice: Collaboration with US-qualified advisers to synchronise your US and Belgian filings.

Our expert team keeps you fully compliant on both sides of the Atlantic, minimising risk and the administrative burden associated with additional reporting and disclosures.

Belgium offers an accessible public healthcare system, alongside private health insurance plans. However, many expats are required to hold comprehensive private coverage to comply with the terms of their visas. 

While the correct balance may depend on your income and tax status, you may wish to consider the following:

• Public Health Insurance Funds (Mutuelle/Mutualité): Residents who pay social security contributions can register with a local mutualité to access GP appointments, hospital care, and prescriptions.
• Global Health Insurance Card (GHIC): The GHIC enables British nationals to access some Belgian healthcare services, often while pending registration as a new expat. However, it doesn’t eliminate the need to register for longer-term access or serve as a substitute for private health coverage. 
• Private Health Insurance Plans: Expats can purchase a range of private insurance policies, with several well-established providers that specialise in products for foreign nationals. Private coverage can be held alongside membership in a mutuelle, and often enables residents to access higher-quality care or a wider range of treatment options. 

Should you need assistance putting the right healthcare cover in place, we can advise on comparable insurance policies and the registration process for yourself and your family.

The UK–Belgium tax treaty is in place to ensure that you’re not taxed twice on the same income or event in both locations. It offers tax reliefs by offsetting liabilities in one country against those in the other, such as: 

• Dividends and Interest: Foreign national tax residents must declare all dividend and interest earnings, and normally pay tax at the prevailing rate in Belgium without a secondary obligation in the UK. 
• Pensions: UK-based pension funds are typically taxed only in the country of origin, with no additional liability in Belgium, although the value of your pension income may affect your income tax bracket.
• Tie-Breaker Rules: Help to determine your tax residency status if you qualify as a resident in both countries or have incomes or assets held in both jurisdictions.

Our advisers can provide more personalised guidance on the correct way to claim and apply tax reliefs, ensuring you optimise your global tax position and take advantage of all tax treaty benefits.