Investment tax changes for Belgian companies from January 1, 2025

The energy transition is an important issue for individuals and businesses in Belgium. To encourage investment in sustainable solutions, such as charging stations for electric vehicles or photovoltaic panels, the Belgian government has introduced the green investment deduction. This tax measure reduces the amount on which tax is calculated, while encouraging the adoption of eco-responsible technologies. But how does it work? Vectura, your energy solutions specialist, explains it all in this article.

What is the green investment deduction?

The green investment deduction is a Belgian tax measure designed to encourage individuals and companies to make environmentally-friendly investments. It directly reduces the tax base by applying a specific percentage to the value of eligible fixed assets. The measure is designed to encourage the adoption of eco-responsible technologies while reducing taxpayers’ burdens.

For 2025, here are the rates applicable to the different types of green investments:

  • Charging infrastructure for electric vehicles: These infrastructures, essential to support sustainable mobility, benefit from a tax deduction of up to 40% for SMEs and 30% for large companies.
  • Photovoltaic panels and energy-saving systems: With a deduction of 15.5% in 2023 and 2024, this equipment will benefit from an increased deduction in 2025, reaching 40% for SMEs.
  • Carbon-free trucks and associated infrastructure: Companies that invest in electric or hydrogen-powered trucks, and the associated charging infrastructure, can benefit from a deduction of between 30% and 40% in 2025, depending on their size.

These percentages are calculated on the investment or cost value of fixed assets, offering an immediate reduction in tax costs while encouraging the adoption of environmentally-friendly practices.

Who can benefit from the green investment deduction?

The green investment deduction is aimed at a wide audience, including both businesses and the professions. Here are the main beneficiaries:

  • Industrial, commercial or agricultural businesses: Whether they are operated by individuals or corporate entities, these businesses can take advantage of this measure to reduce their tax base while contributing to the energy transition.
  • Professionals: Lawyers, doctors, architects and other professionals can also benefit from this deduction, provided they meet the eligibility criteria.

What are the conditions for benefiting from these tax incentives?

For investments to qualify for the green investment allowance, they must meet the following criteria:

  1. Depreciable fixed assets: Assets acquired must be intended for business use and be depreciable.
  2. Acquisition when new: Investments must be acquired or built when new during the year or accounting period.
  3. Use in Belgium: Fixed assets must be used for a professional activity in Belgium.

As an installer of charging stations and photovoltaic panels, Vectura can help you take advantage of these tax breaks by optimizing your choice of equipment.

What are the formalities involved?

To benefit from the green investment deduction, certain administrative formalities must be followed to ensure eligibility and transparency. Here are the main steps:

1. Complete a dedicated form

  • Individuals: Individual taxpayers must attach form 276U to their tax return.
  • Companies: Companies must complete tab 275U via Biztax when filing their corporate income tax returns.

These forms are used to declare the investments made and certify their eligibility.

2. Keep supporting documents available

  • Statement of fixed assets: Including acquisition date, investment value, depreciation period and professional use.
  • Green investment certificates: issued by the relevant regional authority (e.g. Bruxelles Environnement, SPW for Wallonia).

These documents must be available in the event of a tax audit, in order to prove the conformity of expenses.

Vectura supports its customers in this process, providing them with all the technical information and documents required to simplify the process.

How does the deduction work?

How does the deduction work?

The investment allowance applies to your profits for the year in which you acquire the eligible assets.

Here are the key points:

  • Timing of deduction: You claim the deduction in the same year you make the investment.
  • Two options: You can choose between two methods:
    1. Immediate deduction: Reduce your taxable income for that year.
    2. Staggered deduction: Spread the deduction over the depreciation period of the asset (more details below).
  • For individuals: The deduction applies before any offsetting of losses from other professional activities.
  • For companies: The deduction applies last, after all other deductions and offsets.
  • Unused deduction: If your profits are insufficient to use the entire deduction, it is carried forward to subsequent years (with no time limit). However, there is a limit to the amount of deduction carried forward that you can use each year. However, for the basic deduction of 8% (or 20%), the carry-over of the deduction not granted for lack of profits is limited to the following year.

What is the “staggered deduction”?

The “spread deduction” allows you to spread the deduction over the years during which you depreciate the asset. Instead of a one-time reduction, you get a smaller but constant reduction each year.

What investments are excluded from the new tax rules?

Here are the main categories of investments that do not qualify for the deduction:

  1. Property not used exclusively for your professional activity: The property must be used 100% for your professional activity. Goods for personal or mixed use are excluded.
  2. Assets that cannot be depreciated or are depreciated too quickly : Assets that cannot be depreciated or are depreciated too quickly (less than three taxable periods) are not eligible.
  3. Leased goods: In general, goods that you lease to someone else (and for which they obtain the rights of use) do not qualify, unless they are leased to a company or individual in Belgium who uses them to make a profit and does not lease them back (and this lessee must himself meet all the conditions for the deduction). An exception is made for certain audiovisual works and their distribution rights.
  4. Property with transferred rights of use: If you transfer the right to use the property to another taxpayer, it is excluded, unless the transfer is made to a person in Belgium who uses it to generate taxable profits and who does not transfer it further (and this person must himself meet the requirements for deduction at the same or higher rate).
  5. Certain vehicles: Cars and combination cars (as defined by motor vehicle registration regulations), including certain vans, are generally excluded. However, there are exceptions for vehicles used exclusively for cab services, chauffeur-driven hire services or by approved driving schools.
  6. Ancillary costs: Costs ancillary to the purchase price (such as fees) or indirect production costs, not depreciated at the same time as the fixed assets themselves, are excluded.
  7. Investments by taxpayers taxed on a flat-rate basis: Taxpayers using a flat-rate system with standard depreciation rates are not eligible, except for energy-saving investments for which no public financial aid is granted.

Why choose Vectura for your green investments?

When you choose Vectura, you benefit from the expertise of a dynamic team specializing in the installation of sustainable energy solutions. Whether you’re an individual or a company, we offer tailor-made services to maximize your tax benefits and reduce your ecological footprint.

  • Customized audit: Complete analysis of your needs and infrastructure.
  • Compliant installation: Compliance with safety standards and guaranteed quality.
  • Tax optimization: advice on equipment eligible for the green investment deduction.

Take the first step towards a sustainable future

Investing in eco-responsible solutions like charging stations or photovoltaic panels is not only a gesture for the planet, but also an opportunity to benefit from tax advantages thanks to the green investment deduction.

Contact Vectura today for a free quote and tailor-made support. Together, let’s maximize your positive impact on the environment while optimizing your finances. Make your energy transition a lasting success with Vectura.

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