Every year, all companies subject to Belgian corporation tax or non-resident tax must pay a mandatory company contribution to their social security fund. This company contribution is actually a solidarity contribution that supports all kinds of initiatives in favour of all self-employed people, such as the increase in child benefit and minimum pensions for the self-employed.
Which changes are there as of 2023?
The company contribution and the related balance sheet total on which the company contribution is calculated is enshrined in law.
- Basic amount: €347.50;
- Increased company contribution: €868.00;
This increased company contribution applies if the balance sheet total is greater than €746,410.17 (2020 balance sheet total).
These amounts will be indexed from 2023:
- Basic amount: €384.44;
- Increased company contribution: €960.26;
This increased company contribution applies if the balance sheet total is greater than €825,750.09 (2021 financial year).
When do you have to pay?
From 2023 onwards, you must pay your company contribution no later than 31 December each year. Companies incorporated from 1 October do not have to pay until the end of the third month following the month in which the deed of incorporation was deposited. This provided that this end date falls no later than 31 December of the premium year.
In the event of late payment, an increase of 1% per month of delay will be charged on all or part of the unpaid company contribution until the month in which the debt is paid in full.
Are there exemptions?
As a business start-up
Business start-ups which meet the following conditions may benefit from an exemption from this company contribution during the first three years from the year of incorporation.
The following conditions must be met:
- The company is a “partnership”;
- The company must be registered as a company subject to registration in the Crossroads Bank for Enterprises (Kruispuntbank der Ondernemingen) (KBO);
- The director(s), as well as the majority of the working partners, who are not directors, may not have been independent for more than 12 quarters (also not in a secondary occupation or as a cooperating partner) in a period of 40 quarters before the time when the company acquires legal personality;
In order to benefit from this exemption, they must submit an application to the social insurance fund for this purpose.
If your company had no activity for a full year
Companies which, by means of a certificate from the Vennootschapsbelastingen (corporation tax service), prove that they have not engaged in any trade or civil activity for one or more full calendar years, do not owe any company contribution for those years.
If a contribution has already been paid, it can be reclaimed.
In the event of bankruptcy or liquidation
Companies that have been declared bankrupt or that are the subject of a judicial reorganisation, homologated by the Court of Commerce or companies in liquidation do not have to pay this company contribution.
If the company contribution was already paid before one of these events took place, it cannot be reclaimed.
Our Bofidi experts will be happy to help you
Do you have any specific questions about the client list? Then please do not hesitate to contact Rheinhold. He will be happy to help you together with Bofidi’s expert team.