You are here:
18 October 2019 / news

Constitutional Court annuls tax on securities accounts

On 17 October 2019, the Constitutional Court annulled the tax on securities accounts. However, the annulment only applies for the future.

Constitutional Court annuls tax on securities accounts

Background

Since 10 March 2018, a tax on securities accounts can be due in Belgium by individual tax residents who are holding (a) securities account(s) with intermediaries in or outside Belgium. If the average value of the taxable financial instruments on the account(s) meets or exceeds the threshold of €500,000 (per person), a tax of 0.15% is due annually. The threshold is an average annual value. In principle, the values at 4 points of reference - 31 December, 31 March, 30 June and 30 September - are added up and divided by 4.

Decision of the Constitutional Court

On 17 October 2019, the Constitutional Court has annulled the tax on securities accounts. The Court states that the tax violates the constitutional principle of equality and non-discrimination on several points. For example, the Court considers it unreasonable that the tax does not apply to derivative financial products registered in a securities account or to registered shares.

Consequences

In principle, an annulment has retroactive effect. This means that the annulled provision is deemed never to have existed. However, taking into account the budgetary and administrative consequences of the annulment with retroactive effect, the Court decides to uphold the effects of the annulled tax for the taxes due over the reference periods ending before or on 30 September 2019.



Coronavirus - Belgian measures for businesses

Coronavirus | Belgian measures for businesses

Since 18 March different authorities (EU, national, local) took measures in Belgium to reduce the spreading of the COVID-19 virus. In order to overcome the economic... read more
Corona raises various tax questions

Coronavirus raises various tax questions in Belgium

The rapid spread of the coronavirus (Covid-19) leads to far-reaching measures at home and abroad. read more

State aid: decisions opening individual investigations

The Commission published its decisions to investigate in depth the treatment of 39 Belgian companies that had obtained an ‘excess profit ruling’. read more