Flemish budget agreement: higher registration duties and other measures for families and businesses

On 30 September 2026, the Flemish Government presented its September Declaration, introducing a package of measures that may directly affect households, prospective buyers and businesses from 2027 onwards. The most notable tax measure is the announced increase in the sales duty on the purchase of a sole own home. In addition, changes have been announced regarding service vouchers, inheritance tax, the Growth Package and Flemish support measures. Most measures still need to be translated into concrete legislation.

Although the concrete legislation still has to be developed, the main outlines of the agreement are already known. Below you will find an overview of the most important announced measures and some practical points of attention.

Registration duties for sole own homes to increase again

The most notable tax measure is the announced increase in the sales duty on the purchase of a sole own home. The current rate of 2% would rise again to 3%. This means Flanders is partly returning to the rate that applied before the rate reduction on 1 January 2025.

As we explained earlier in our article, registration duties often constitute a significant tax cost when purchasing property. The financial impact can be considerable. When purchasing a home worth EUR 400,000, registration duties will increase from EUR 8,000 to EUR 12,000. This represents an additional cost of EUR 4,000 for the buyer.

For ongoing property transactions, the transitional arrangement will be particularly important. According to the September Declaration, the intention is to increase the rate back to 3%, but the exact date of entry into force and the relevant reference point for applying the new rate still have to be specified in the draft texts. Prospective buyers should therefore have it checked whether the date of the private sale agreement or that of the notarial deed will be decisive.

Service vouchers also becoming more expensive

From 1 January 2027, the price per service voucher would increase from EUR 10 to EUR 12. From the 176th voucher onwards, EUR 13 per voucher would be payable. In addition, a limit of a maximum of 300 service vouchers is announced, and the validity period would be shortened from twelve to nine months. The precise application of these restrictions and any exceptions for specific user groups still have to be clarified in the final regulations.

For families that regularly make use of service vouchers, this could have a clear budgetary impact. A family that, for example, uses 150 service vouchers per year would pay EUR 300 more annually if the price increases by EUR 2 per voucher.

Reduction of inheritance tax postponed until 2029

The further reduction of Flemish inheritance tax for small and medium-sized estates would be postponed until 2029. This does not mean a complete postponement of all changes: certain reforms, including the increased exemption for the surviving partner and the new regime for single persons without children, came into effect on 1 January 2026. The exact scope and modalities of the additional reduction from 2029 still need to be developed further.

The favourable regime for donations and inheritances of family businesses and companies remains in place. However, it has been tightened since 1 January 2026. For instance, residential property and building land within family businesses or companies are wholly or partly excluded from the favourable regime. The application of the remaining exemption or reduced rates remains subject to strict conditions and must always be assessed on a case-by-case basis.

Other measures for families and businesses

The agreement also includes several other measures mainly aimed at limiting Flemish expenditure and support mechanisms.

• The Growth Package would only be paid for students living at home up to the age of 23, instead of 25.
• The birth allowance would only be granted for the birth of a first child.
• Further cuts would be made to subsidies, including the SME portfolio.
• The additional resources for De Lijn and local authorities would be limited.

What does this mean in practice?

The budget agreement and the September Declaration outline the political framework. The draft texts, parliamentary discussions and finally approved decrees will determine the exact scope, conditions of application, exceptions, transitional arrangements and effective dates. This overview is based on the information publicly available on 2 October 2026 and should be updated once the draft legislation is published.

In particular, for those planning to purchase a property, engage in estate or succession planning, or transfer a family business, it is advisable to carefully monitor the further legislative developments and check in good time whether any action is required.