Belgium’s payroll tax exemptions — including those for R&D, night and shift work, and overtime — are under intensified scrutiny from the tax authorities. In 2024 alone, nearly €200 million has already been reclaimed from companies whose application of these incentives was deemed non-compliant (see press article FR / NL). With an annual cost exceeding €4 billion, it’s no surprise that these regimes are now firmly in the spotlight.

The risks of misapplication are significant: repayment of exemptions, late payment interest, penalties, and the administrative burden of audits. At the same time, the regulatory landscape continues to evolve, creating additional complexity for companies striving to remain compliant.

A Moving Target: Legislative and Administrative Changes

The rules governing payroll tax exemptions are anything but static. New legislation, updated administrative guidelines, and a growing body of case law make it increasingly difficult to stay up to date. In recent months, several important developments have reshaped the landscape:

• The Law of 12 May 2024 introduced a more flexible variation ("regime Variant Bis") under the exemption for shift work (travail en équipe / ploegenarbeid). While this Variant Bis regime broadens access, the tax authorities have adopted a strict interpretative approach, resulting in various practical challenges. An administrative circular or FAQ has been announced but is still pending — and eagerly awaited by stakeholders seeking clarity and legal certainty.
• The 2025 BELSPO guidance [FR / NL] sets new expectations for the notification and update of research programs and projects, impacting companies claiming R&D wage tax exemptions.
• The government has also indicated plans to thoroughly reform the R&D exemption regime, with a focus on improved oversight and transparency. This could significantly affect both eligibility and compliance requirements.
• Exemption for natural disasters (“calamité naturelle”) has been added to the list of eligible cases, further expanding the scope of the payroll tax exemption framework —but also introducing new compliance requirements following the Royal Decree of 20 December 2024.

Keeping up with these continuous changes is a challenge for many organizations, especially those relying on internal teams with limited time or resources to monitor legal updates, administrative guidance, and case law.

Why a Proactive Approach Pays Off

Adopting a proactive compliance strategy delivers measurable benefits:

• Reduced risk of costly corrections, penalties, and reputational damage
• Less audit-related stress and better use of internal resources
• Early detection of missed opportunities or underused incentives
• Smoother collaboration between internal departments and external providers

How AKD Can Help

At AKD, our Tax team provides practical, high-value support to help you safeguard your payroll tax incentives while minimizing compliance risks. We combine deep technical expertise with hands-on experience across various sectors.

We assist clients with:

• A Quick Scan (Health Check) of internal processes and documentation
• Tax audit simulations to assess readiness and compliance risk
• Drafting or reviewing supporting documentation
• Clarifying roles and responsibilities within internal teams (HR, Payroll, Tax, Finance) and with external payroll providers
• Ongoing advisory support and regular reviews
• Assistance during audits, and representation in administrative or judicial disputes

Whether you require a targeted intervention or a long-term strategic partnership, we’re here to help you navigate the complexities of payroll tax exemptions with confidence.

Contact us to discuss how we can support your company.