Context

As you probably know, Belgian tax on taxable pay is mainly remitted to the tax authorities by the employer as wage withholding tax. On 30 June of the second year following the income year at the latest (e.g. 30 June 2005 for income of 2003) the taxpayer will finally have a tax due or a tax refund depending on the previously withheld tax.

News

A new Royal Decree adapting the wage withholding tax section of the Royal Decree of the Income Tax Code has just been published on 14 November 2002 in the Official Gazette.

The new wage withholding tax scales are applicable on income paid or granted as from 1 January 2003.

The new scale take into account the average increase of the local tax rates and the decrease of the maximum income tax rate to 50%.

If you would like more information, please find the Official Gazette extract at the following address: http://www.hrconsulting.be/headline.html?lk=200211141