Assessment and audit periods are being modified:

The current periods during which assessments and audits can be conducted are to be modified again. This will mean that the changes that were introduced for tax year 2023 will be partially reversed.

The periods are expected to be adjusted as follows:

Current period Expected period
Return submitted on time
3 years
3 years
Return not submitted or submitted late 
4 years
3 years
Semi-complex returns
6 years
4 years
Complex returns
10 years
4 years
Fraud
10 years
7 years

Modification of the tax penalty policy

The tax penalty policy is to be modified so that a tax surcharge of 10% is no longer automatically imposed for a first violation in good faith. This is in line with a recent Constitutional Court ruling.

In the absence of evidence to the contrary, there will be a presumption of good faith unless the ex officio assessment procedure has been used. The measure will enter into force for assessments registered from 1 July 2025 onwards. A spontaneous correction may be deemed to constitute a violation in good faith. 

In the event of a tax correction with the application of a surcharge, it is not possible to offset previous losses and other deductible items that have either been carried forward or that relate to the taxable period. In other words, such tax corrections give rise to an actual tax liability (minimum taxable amount).

In view of the modification of the tax penalty policy as described above, it is expected that this actual tax liability will be less applicable.

In addition, the loss for the taxable period will always remain deductible, even from an additional taxable amount resulting from a tax audit.

-          Tax havens

Certain payments to tax havens already have to be reported in an addendum to the corporate income tax return.

The legislators will publish a list of tax havens every year for the coming calendar year. By contrast with what is often the case today, this list will not be changed during the same year.

-       Unlawfully obtained evidence 

Case law from the Court of Cassation and other courts has developed what is known as the ‘Antigone doctrine’. This states that evidence obtained illegally by the tax authorities (e.g. in violation of procedural rules) may still be used under certain conditions. A legal framework will be provided for these principles.

-       The principle of trust

Based on the principle of trust, legislation will stipulate that no penalty may be imposed on something that has been checked and accepted by the tax authorities in the past (provided that the law has not changed).