Belgian capital gains tax approved by Parliament

Belgium has formally introduced a capital gains tax on financial assets. The draft legislation has been approved by Parliament on Friday, 3 April 2026, and will apply retroactively to gains realized as from 1 January 2026.

Alongside the pension reform, the introduction of the capital gains tax on financial assets has been one of the most debated measures of the Federal Government. For more information on the debated drafts and legislative process, we refer to our previous updates of July, September and December 2025. The key aspects of the adopted text are summarized below.

The new capital gains tax applies to gains realized upon a transfer for consideration of financial assets and only insofar as these gains arise within the normal management of private assets. Existing rules continue to apply to speculative transactions or gains realized within a professional context. Historical gains have been specifically excluded from the scope.

To determine the applicable tax rate, the legislation distinguishes three categories of capital gains:

• Internal transfers, i.e. transfers of shares to a company controlled by the seller and his/her family: taxed at 33%;
• Significant shareholdings, i.e. the seller individually holds at least 20% of the shares: taxed at progressive rates of 0-10% (16,5 % for transfers outside of the EEA). The first EUR 1.000.000 over a 5-year period is exempt;
• Other financial assets, subject to a general 10% capital gains tax. The first EUR 10.000 is exempt annually, with a limited carry forward of up to EUR 5.000 over five years.

The capital gains tax applies to gains realized as from 1 January 2026. The capital gain must be reported in the annual income tax return, although a tax withholding mechanism will also apply. Due to the delayed approval of the legislation, the tax withholding and opt-out mechanism will be introduced gradually throughout 2026.

During the parliamentary discussions, the Minister of Finance has provided additional clarification on several points and a small number of amendments have been accepted. Most significantly: 

• Tax withholding and opt-out mechanism: amendments have been made to the applicable deadlines for tax withholding and the opt-out mechanism.
  In general, tax withholding by intermediaries will become mandatory as from 1 June 2026, allowing sufficient time for the implementation of the new processes. Taxpayers retain the right to request withholding of the tax due during the months prior to the introduction of the mandatory withholding mechanism;
  Where tax withholding is mandatory, taxpayers nevertheless have the right to explicitly “opt out” of the withholding mechanism. By opting out, the intermediaries will no longer withhold any taxes upon paying out the gains. The taxpayer is then obliged to personally report all transactions for which no taxes have been withheld, whereas there is no reporting obligation if taxes have been withheld (liberating withholding tax). 

• Scope of application: while investment gold falls within scope, the Minister of Finance has confirmed that golden jewelry falls outside of the scope, as this does not meet the criteria of the definition of investment gold;
   
• Bonds below nominal value: gains resulting from the purchase of bonds below nominal value and their redemption at full value are considered taxable under the capital gains tax;
  
  
• Capital losses: realizing losses with the intention of offsetting them against gains does not constitute tax abuse, although losses remain deductible only within the same category and taxable period;
  
  
• Exit tax: where exit tax has been paid and the actual value upon realization is lower, no reimbursement is currently foreseen. However, pending cases before the Court of Justice of the European Union may impact this position, which the authorities have indicated they will monitor;
  
  
• Real estate companies: capital gains on shares in real estate companies (e.g., the French “Sociétés Civiles Immobilières”) fall within the scope of the capital gains tax.
  
  
• Reynders’ tax: The Minister of Finance has clarified that the taxable value of the movable interest income (Reynders’ tax) can be deducted from the taxable value of the capital gains tax.

The tax authorities are expected to publish further guidance shortly after the publication of the legislation. This should provide additional clarification on outstanding questions and certain practical aspects of the regime, including for instance the application of the rules in an international context.

Now that the legislation has been approved and applies to gains realized as from 1 January 2026, taxpayers should assess whether the new regime has already affected (or may still affect) transactions carried out during the first months of 2026.

In particular, attention should be paid to:

• the valuation of financial assets on 31 December 2025 (so-called ‘photo moment’), which serves as a key reference point for assets acquired before that date;
• the documentation of actual acquisition values and evidentiary support;
• the potential impact of the rules in case of emigration (exit tax);
• monitoring future guidance from the tax authorities.

Timely review and proper documentation will help mitigate the tax compliance burden upon preparing tax returns.

KPMG can assist you in addressing the above questions and ensuring effective tax compliance. If you need any support with the new capital gains tax, please do not hesitate to reach out to us.