Country:Belgium
Year:2005
Policy status:In Force
Jurisdiction:National
Date Effective:2005
Date Amended:

2009

Policy Type:Economic Instruments>Fiscal/financial incentives>Grants and subsidies
Energy Efficiency Policy Targets:Transport, Transport systems, Modal shift
Climate Change Policy Targets:Transport, Passenger
Agency:Federal Public Service of Finance
URL:http://www.fiscus.fgov.be
Legal References:Third National Communication to the UNFCCC (p66-75); 2005 Report to Commission by Belgium under 28/2004/EC
Energy Efficiency Description:The Federal Government has extended the existing deduction for professional expenses relating to journeys between home and work to cover all modes of transport, including walking, cycling and public transport. It had previously only applied to cars, hybrid vehicles and minibuses. A. Exempt Income (article 38, § 1, section 1, 9°, 14°, and 25°, of the Income Tax Code 1992)Commuting expenses have to be born by the employee. Where these expenses are refunded by the employer, they are in principle a taxable income. The latter can however be partly or totally exempted:a) the mileage allowance for cycling commuters is exempted from tax up to € 0,21 per kilometre;b) when the employee doesn’t opt for the deduction of  actual professional expenses (but accepts the deduction of a lump sum): -  the total amount of the  allowance for or the reimbursement of commuting expenses by public transport is exempted;- the allowance for the use of collective means of transport provided by the employer or a group of employers or for carpooling, is exempted pro rata temporis up to the amount of a weekly first class train ticket between work and home;-  the allowance for other means of transport is exempted up to € 250,00 (non indexed amount).The benefit in kind resulting from the provision of a bicycle and cycling accessories by the employer is tax exempt   on condition that the bicycle is also used for commuting. Eco-vouchers up to € 250,00 per year are tax exempt. These vouchers must be registered and granted in the framework of a collective agreement either for the sector or concluded within the company. If there is no collective agreement, a written individual agreement is required. B. Commuting expenses(articles 66 and 66bis, Tax Income Code 1992)As regards  the deduction of actual professional expenses, the following rules apply for the deduction of commuting expenses:a) by car, twin-purpose car or minibus: lump sum of € 0,15 per kilometre, limited to the amount of the benefit in kind for the company car when commuting with the company car; b) by bicycle: actual expenses or a lump sum of € 0,21 per kilometre, limited to 100 kilometres single distance  ;c) by other means of transport: actual expenses or a lump sum of € 0,15 per kilometre, limited to 100 kilometres single journey (including kilometres by bicycle).Expenses entitling to an increased deduction of 120 pct.(article 64ter, Tax Income Code 1992)Employers can deduct 120 pct. of the expenses actually incurred: a) for the use of minibuses, buses or coaches for the collective transport of staff members between home and work  ;b) for promoting the use of the bicycle for commuting, notably for the creation of  bicycle storage during working hours,  for the installation of a changing room or sanitation facilities at the  disposal of cycling commuters and for the acquisition, maintenance or reparation of bicycles and cycling accessories put at the staff’s disposal.
Climate Change Description:The Federal Government has extended the existing deduction for professional expenses relating to journeys between home and work to cover all modes of transport, including walking, cycling and public transport. It had previously only applied to cars, hybrid vehicles and minibuses. A. Exempt Income (article 38, § 1, section 1, 9°, 14°, and 25°, of the Income Tax Code 1992)Commuting expenses have to be born by the employee. Where these expenses are refunded by the employer, they are in principle a taxable income. The latter can however be partly or totally exempted:a) the mileage allowance for cycling commuters is exempted from tax up to € 0,21 per kilometre;b) when the employee doesn’t opt for the deduction of  actual professional expenses (but accepts the deduction of a lump sum): -  the total amount of the  allowance for or the reimbursement of commuting expenses by public transport is exempted;- the allowance for the use of collective means of transport provided by the employer or a group of employers or for carpooling, is exempted pro rata temporis up to the amount of a weekly first class train ticket between work and home;-  the allowance for other means of transport is exempted up to € 250,00 (non indexed amount).The benefit in kind resulting from the provision of a bicycle and cycling accessories by the employer is tax exempt   on condition that the bicycle is also used for commuting. Eco-vouchers up to € 250,00 per year are tax exempt. These vouchers must be registered and granted in the framework of a collective agreement either for the sector or concluded within the company. If there is no collective agreement, a written individual agreement is required. B. Commuting expenses(articles 66 and 66bis, Tax Income Code 1992)As regards  the deduction of actual professional expenses, the following rules apply for the deduction of commuting expenses:a) by car, twin-purpose car or minibus: lump sum of € 0,15 per kilometre, limited to the amount of the benefit in kind for the company car when commuting with the company car; b) by bicycle: actual expenses or a lump sum of € 0,21 per kilometre, limited to 100 kilometres single distance  ;c) by other means of transport: actual expenses or a lump sum of € 0,15 per kilometre, limited to 100 kilometres single journey (including kilometres by bicycle).Expenses entitling to an increased deduction of 120 pct.(article 64ter, Tax Income Code 1992)Employers can deduct 120 pct. of the expenses actually incurred: a) for the use of minibuses, buses or coaches for the collective transport of staff members between home and work  ;b) for promoting the use of the bicycle for commuting, notably for the creation of  bicycle storage during working hours,  for the installation of a changing room or sanitation facilities at the  disposal of cycling commuters and for the acquisition, maintenance or reparation of bicycles and cycling accessories put at the staff’s disposal.
Amended:

The deduction is EUR 0.15 / km, capped at 50 km round trip. The economic law of 27 March 2009 (Moniteur Belge, 7 April 2009) has introduced measures to promote the use of the bicycle between home and work. These measures will become applicable from the tax year 2010 (incoming year 2009)

Amended:

The economic law of 27 March 2009 (Moniteur Belge, 7 April 2009) has introduced measures to promote the use of the bicycle between home and work. These measures will become applicable from the tax year 2010 (incoming year 2009)

Last modified: Thu, 23 Aug 2012 09:30:39 CEST