The Belgian special tax regime for inbound taxpayers has been made more accessible and more attractive. The minimum gross annual remuneration required under the RSII has been reduced from EUR 75,000 to EUR 70,000, while the maximum tax-free lump-sum allowance for employer-related expenses has been increased from 30% to 35% of gross annual remuneration. The previous annual cap of EUR 90,000 has also been removed. In practice, these changes should broaden access to the regime and may significantly reduce employment costs when hiring international talent, while giving multinational groups more flexibility to structure competitive remuneration packages.
These changes apply to remuneration paid or granted as from 1 January 2025. Because the new rules apply retroactively, a specific transitional regime is available for impatriate taxpayers who started working in Belgium on or after that date and who did not meet the former EUR 75,000 salary threshold, but who satisfy all other conditions and meet the new EUR 70,000 threshold. These individuals may still apply for the regime, provided the application is filed within three months from the tenth day following publication of the law in the Belgian Official Gazette.
The RSII is available to employees and company directors who meet several cumulative conditions. The individual must work in Belgium either after being recruited directly from abroad or after being assigned to a Belgian entity by a foreign company belonging to the same multinational group. The taxable gross annual remuneration in Belgium must amount to at least EUR 70,000. In addition, during the 60 months preceding the start of employment in Belgium, the individual must not have been a Belgian tax resident, must not have been subject to Belgian income tax, and must not have lived within 150 kilometres of the Belgian border. The employer must file the application within three months of the start of employment. The regime can apply for a maximum period of five years, with a possible three-year extension.
A separate special tax regime also exists for inbound researchers, the RSICI. This regime applies to employees working as researchers who hold a qualifying degree and/or have at least ten years of relevant professional experience. They must work in a laboratory or company carrying out one or more research and development programmes, and at least 80% of their working time must be effectively dedicated to research activities. The main conditions are broadly similar to those of the RSII, but no minimum remuneration threshold applies and the regime is only available to employees. Under both regimes, employers may grant a tax-exempt allowance for recurring expenses directly linked to the assignment or employment in Belgium, capped at 35% of gross remuneration. Certain exceptional expenses, such as relocation costs, housing setup costs in Belgium and children’s school fees, may also be reimbursed tax-free. In principle, these allowances are also exempt from employee and employer social security contributions, although it remains to be confirmed whether the Belgian social security authorities will accept the increase to 35% and the removal of the previous maximum cap.