Administrative guidance on capital gains tax published

The Belgian tax authorities have published a comprehensive circular letter^[1] that clarifies the practical application of the new rules^[2] and addresses several remaining points of uncertainty. This update relates only to personal tax, the circular letters for legal entities tax and withholding tax have yet to be published.

As quite some practical questions remain, we do expect further administrative guidance will be required.  In this update, we’re highlighting the positions and clarifications that are particularly relevant for tax, legal & reward professionals, entrepreneurs and for HR teams dealing with mobile and international profiles. 

In light of the delayed publication of the law, the application to taxpayers leaving the country during 2026 was unclear. The tax authorities have now confirmed that tax residents who emigrated prior to 1 May 2026 (and subsequently became tax non-residents) are not subject to the new capital gains tax. Simultaneously, this clarifies that taxpayers leaving on or after 1 May 2026 are effectively subject to both the regular regime for realized gains (e.g. sold assets between 1 January 2026 and the moment of departure) as well as the exit tax regulations.

The circular letter confirms that the new capital gains tax is not applicable to non-residents of Belgium (with the exception of former Belgian tax residents who have emigrated from Belgium). As a result of this change the capital gains on shares in Belgian companies arising from speculation or abnormal management of private wealth are also no longer taxable under the non-resident tax regime.

Deferred payment of the purchase price does not defer taxation: the capital gains are generally taxable at the moment of the transfer of the ownership. Only when part of the price is not yet definitively determined at the time of transfer, is taxation of that part postponed until the price is definitively fixed. The circular letter confirms that the taxpayer can claim the exemptions in both taxable years. Furthermore, it also confirms that if during the year of transfer the favorable rates for the transfer of a significant shareholding apply, these rates and exemptions will also apply for the year(s) that the earn out becomes taxable. 

The administration confirms the previously expressed position by the Minister that for bonds acquired below par, the difference between the par value and the purchase price is a taxable capital gain when the bond is redeemed at maturity. Important to note is that there can be a difference between the nominal value and the issue price, in which case the delta between these two components could be partly taxable as interest income instead of capital gains.

Beyond the basic EUR 10,000 exemption, the law provides for an additional exemption of EUR 1,000 per annum to be carried forward if the basic exemption is largely unused. Upon realization of a taxable capital gain, the taxpayer can use a maximum of 5 times the additional exemption per annum, but the total additional exemption can nonetheless accumulate further and exceed 5 times the additional exemption.

Based on the example provided by the tax authorities (disregarding indexation impact^[3]): If no gains are realized from 2026 until 2031, the accumulated carry forward amounts to EUR 6.000 (6 times EUR 1.000). In 2032 the taxpayer has a total of EUR 10.000 basic exemption and EUR 6.000 carried forward exemption. The carried forward exemption can only be used for a maximum of EUR 5.000 in one year. The delta of the additional carry forward (EUR 1.000) can still be carried over to next year and is not lost.

The law mandates that for identical financial instruments, the acquisition value is determined based on the FIFO-method (first in, first out). The tax authorities have now stated that this must be applied per account and not across one’s global portfolio.

If a company’s regular accountant belongs to a group or firm, that also offers auditing services, the auditing branch of that firm can perform the valuation, provided the auditing activity sits in a separate legal entity.

The prior tax regime for “abnormal management” or “speculation” remains in place, meaning that (as for all financial assets) crypto-assets could still be taxed at 33 %.

The tax authorities have expressly stated that the default position remains that crypto‑trading, just like trading in other financial assets, falls under the general capital gains regime (10 %). Taxation at 33 % will require specific proof by the authorities, taking into account the share of total investments in crypto, use of external financing and use of automated processes or software for trading (e.g. trading bots). These elements must be assessed in conjunction with one another. It is the combination of multiple factors - and not a single criterion on its own - that can lead to the conclusion that the transactions are abnormal or speculative in nature. 

The circular letter also touches on the exit tax applicable when a taxpayer breaks Belgian tax residence. When choosing for optional payment deferral (i.e. for transfers to a non-qualifying country^[4]), the taxpayer must provide financial guarantee as condition for the deferral. No formal procedure has been put in place yet. Taxpayers wishing to apply for the deferral must therefore contact their local collection office directly. This is regrettable, as the absence of a standardized procedure means that arbitrary or inconsistent treatment cannot be ruled out.

Annex II to the circular letter lists the qualifying jurisdictions. The list is limited and excludes, among others, the UK, the US, Canada and China. For the US, although the Belgium-US treaty includes the mandatory provisions, the tax authorities consider the scope of mutual assistance too limited. It remains to be seen to what extent this interpretation will hold up in case of discussion.

Financial assets contributed to a partnership (‘maatschap’ / ‘société simple’) will not automatically lead to taxable capital gains as long as there is no implicit exchange. If identical assets are centralized in a partnership, the capital gains tax will generally not apply, meaning that partnerships, which are a common instrument in estate planning, can still be used if the circumstances are duly managed. 

These topics are only a selection of the content of the administration’s guidance. If you have any detailed questions for your business or private situation, do not hesitate to contact us directly for any assistance you may require. We will continue to monitor and share further updates. 

_{[1] Circular letter 2026/C/74 of 22 July 2026.}

_{[2] Cf our previous updates of July, September, December 2025 and April, May 2026.}

_{[3] The amounts of EUR 10.000 and 1.000 basic and additional exemption are indexed annually, as well as the cap on the use of the additional exemption of 5.000. For ease of reference, we have not taken into account any indexations.} 

_{[4] The double tax treaty needs to include provisions on exchange of information and collection assistance in order to qualify for automatic payment deferral. If the treaty does not include such provisions, automatic payment deferral does not apply, yet the taxpayer can apply for optional payment deferral.}