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Extension granted for Belgian stock exchange tax on foreign transactions till 30 June 2017

Following the law, the tax is payable at the latest on the last working day of the second month following the month in which the transaction occurred or was executed. For transactions in January 2017 the tax would therefore in principle be due by 28 February 2017 (general rule) or by 31 March 2017 (if the tax return is submitted by the Belgian resident). However, in a press release of 27 February 2017 the Minister of Finance announced that an extension is granted (for all foreign transactions) till 30 June 2017.

Last week, also the Royal Decree was published installing the practical formalities for a foreign intermediary to assign a fiscal representative to fulfill the compliance formalities related to the payment and reporting of the Belgian stock exchange tax (see below).



Debtor of the stock exchange tax

For transactions carried out abroad the Code of Miscellaneous Fees and Taxes (the law) provides that the ordering party is liable for the reporting and payment obligation unless and until he can evidence that the tax has already been paid by the foreign intermediary or its Belgian fiscal representative.


Assigning a fiscal representative in Belgium

The law provides that foreign intermediaries can appoint a (jointly and severally liable) fiscal representative in Belgium. This representative, an independent company or a company that is related to the foreign financial intermediary, is then responsible for the payment of the tax and the filing of a tax return and an informative statement (“borderel”). This allows the foreign intermediary to take over the reporting and paying responsibility of their Belgian clients (for commercial reasons).

The Royal Decree containing the conditions and modalities to assign such fiscal representative has recently been published (Royal Decree of 16.02.2017 – Belgian Official Gazette dd. 22.02.2017).


The Royal Decree of 16 February 2017

  • In summary, the Royal Decree determines the following:
    • To be recognized, the foreign intermediary needs to address a written request to the competent authority mentioning the full identity of the foreign intermediary and the entity that wants to act as a fiscal representative. A standard request form is available with the competent authority;
    • To be eligible to act as a fiscal representative it is required that the latter is:
  • Established in Belgium
  • Has the power to conclude contracts; and
  • Is sufficiently solvent. In this respect, documentation needs to be provided, showing that the fiscal representative is sufficiently solvent to fulfill its obligations for a whole year.
  • The competent authority will notify (in written) its decision to the intermediary established abroad and the assigned fiscal representative within one month after receipt of the request;
  • The recognition is effective as of the third working day following the notification of the recognition to the fiscal representative.

Frequently Asked Questions - further administrative guidelines

As the law raises several practical questions - e.g. how the concept of indirect order should be interpreted, whether also discretionary management is targeted, etc. - the tax authorities are working on a FAQ which we expect will soon be published.


Press release

Don't miss the press release: in Dutch or in French.



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Jos Goubert

Tax Knowledge Dept.

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