Wath:
- Employers can benefit from an 80% exemption of withholding tax for qualifying employees, which provides extra cash flow for R&D expenses. This measure doesn't affect the personal income tax paid by R&D employees.
For whom:
- All businesses subject to corporate income tax in Belgium, including SMEs and international companies with permanent establishments in Belgium, are eligible for this exemption. Small enterprises that qualify as Young Innovative Companies (YICs) and have existed for less than 10 years have more flexible conditions and a wider scope.
For what:
- Researchers holding a Master's Degree or an academic Bachelor's Degree (or equivalent) in the relevant region can receive remuneration that is paid or awarded with exemption.
- Researchers holding a professional Bachelor's Degree (or equivalent) in the relevant region can also receive remuneration that is paid or awarded with exemption, but the total amount of exemption from payment is limited to 25% (if the employer is not a "small enterprise") or 50% (if the employer is a "small enterprise") of the exemption applied to those holding Master's Degrees.
