R&D Tax Incentives
We offer expertise in R&D tax incentives, which encompass a variety of opportunities to reduce tax liabilities and reinvest those savings in your business. Key areas: 1. Innovation Income Deduction: This allows Belgian tax resident companies and establishments to reduce corporate income tax on net income derived from patents and innovative software by up to 85%. It’s a powerful tool to incentivize innovation and intellectual property development. 2. Investment Relief for R&D Investments (Investment Deduction or Tax Credit for R&D): Businesses can benefit from additional tax deductions on top of regular depreciation for qualifying R&D capex investments. These deductions, combined with depreciation, can significantly reduce taxable profits and encourage further investment in research and development. 3. Wage Tax (Remittance) Exemptions: For qualifying technical personnel involved in R&D, companies can keep part of the wage tax withheld. This exemption can provide immediate cash flow savings, which can be reinvested back into R&D projects, making it a crucial tool for managing the financial impact of R&D staff wages. Correct application of this measure is key, as it is frequently audited by the tax authorities. 4. Copyright Remuneration: This provides personal income tax savings for income derived from the transfer or licensing of copyright. It applies particularly to authors and creators whose copyright protected works are exploited by employers and clients; typically marketeers, copywriters, technical writers, etc. Qualifying income is taxed at a much lower rate and, provided all conditions are fulfilled, no social security contributions are due. This tax regime has been changed substantially recently and should only be applied with utmost care. In 2025 or 2026, the regime will likely be reopened again to software developers.
We offer expertise in R&D tax incentives, which encompass a variety of opportunities to reduce tax liabilities and reinvest those savings in your business. Key areas: 1. Innovation Income Deduction: This allows Belgian tax resident companies and establishments to reduce corporate income tax on net income derived from patents and innovative software by up to 85%. It’s a powerful tool to incentivize innovation and intellectual property development. 2. Investment Relief for R&D Investments (Investment Deduction or Tax Credit for R&D): Businesses can benefit from additional tax deductions on top of regular depreciation for qualifying R&D capex investments. These deductions, combined with depreciation, can significantly reduce taxable profits and encourage further investment in research and development. 3. Wage Tax (Remittance) Exemptions: For qualifying technical personnel involved in R&D, companies can keep part of the wage tax withheld. This exemption can provide immediate cash flow savings, which can be reinvested back into R&D projects, making it a crucial tool for managing the financial impact of R&D staff wages. Correct application of this measure is key, as it is frequently audited by the tax authorities. 4. Copyright Remuneration: This provides personal income tax savings for income derived from the transfer or licensing of copyright. It applies particularly to authors and creators whose copyright protected works are exploited by employers and clients; typically marketeers, copywriters, technical writers, etc. Qualifying income is taxed at a much lower rate and, provided all conditions are fulfilled, no social security contributions are due. This tax regime has been changed substantially recently and should only be applied with utmost care. In 2025 or 2026, the regime will likely be reopened again to software developers.
Transfer Pricing
Our transfer pricing experts at Alongsight specialize in providing tailored solutions that help businesses manage all aspects of transfer pricing. Our services include designing and implementing transfer pricing policies in accordance with your business's value chain in compliance with local and international standards, including the OECD transfer pricing guidelines. We prepare transfer pricing documentation and conduct benchmarking studies to determine arm's length pricing for intercompany transactions. We also assist with negotiating and implementing advance pricing agreements (APAs) to secure long-term certainty and reduce audit risks.
Our transfer pricing experts at Alongsight specialize in providing tailored solutions that help businesses manage all aspects of transfer pricing. Our services include designing and implementing transfer pricing policies in accordance with your business's value chain in compliance with local and international standards, including the OECD transfer pricing guidelines. We prepare transfer pricing documentation and conduct benchmarking studies to determine arm's length pricing for intercompany transactions. We also assist with negotiating and implementing advance pricing agreements (APAs) to secure long-term certainty and reduce audit risks.
