Are you self-employed or looking to provide charging stations for your business?
Basic deductions
For small Flemish companies, according to the tax definition, a basic deduction of 10% of the investment deduction for charging infrastructure applies. Specifically, this applies to sole proprietors, liberal professions and small companies.
Increased thematic deductions
These Flemish deductions apply as follows:
-
40% deduction for sole proprietors and small companies
-
30% deduction for larger companies
This deduction applies to charging infrastructure for zero-emission freight vehicles, buses and coaches. It must also cover investments of at least €1,000. However, this deduction cannot be combined with the "Ecologiepremie+".
Other grants
In Flanders, companies can also claim the "Ecologiepremie+" for fast chargers and the annual call for subsidies from the Clean Power for Transport initiative. For more information about this, please contact one of our colleagues for a free consultation.
Are you a private individual?
At this time, there are no more tax deductions for private individuals, regarding the purchase or installation of a charging station, since these tax rulings expired in August 2024. There are many ongoing discussions on such beneficial measures for charging stations at various levels of government.
However, there is no clarity so far on concrete plans for new tax rules for individuals wishing to install charging stations.
If you would find the initial investment in a charging station too demanding, our Charging-as-a-Service (CaaS) formula might be of interest to you! This leasing formula allows you to spread the cost of the charging station over a number of years, making the installation of a charging solution a lot more accessible. You can find more info on our CaaS page.
Subsidies and taxation when buying Plug-in Hybrid or 100% electric vehicle
In the Flemish Region, you are completely V.A.T. free when you buy a 100% electric vehicle.
In the Walloon and Brussels-Capital Regions, you only pay the minimum V.A.T. (€61.5*) for a fully electric vehicle.
Plug-in Hybrids and other types of Hybrids are subject to a modified scheme that depends on several factors, including the CO2 contribution.
For this, we would like to refer you to the simulation tool of the Flemish Tax Administration. This legislation applies throughout Belgium.
In the Flemish Region, you are completely exempt from road tax when you buy a 100% electric vehicle.
In the Walloon and Brussels Capital Regions, you only pay the minimum road tax (€83.95*) for a 100% electric vehicle.
*fee amounts valid on 31/5/2021
However, Wallonia plans a thorough reform of its traffic taxes in 2023. Exactly what the system will look like is unclear for now.
For (Plug-in) hybrids, the same calculation of the CO2 contribution applies to obtain the road tax. For this, we refer to the calculation of the CO2 contribution for non-Full EVs.
Do you have an electric company car that you also use privately? Then you will pay less than owners of cars with diesel, petrol, LPG or natural gas engines. Due to their lower baseline CO2 emissions in 2022, their bill is actually higher than the previous year, but electric cars get away with this additional cost. Indeed, the lowest CO2 coefficient, being 4%, is taken into account when calculating the BiK for an electric company car.
Some local governments, cities and municipalities offer subsidies to individuals when buying or leasing a 100% electric car. Ask your municipality about the possibilities.
In Ghent, for example, from 2021 there is a premium of up to 4,500 euros for those who buy or lease an electric car and use it as a shared car.
Are you self-employed or run a business? Then at that point, the purchase of an electric car is 100% tax deductible. You also deduct 100% of the electricity you use for electric vehicles from your taxes.
Besides, between 2023 and 2026, the government will phase out tax breaks for fuel cars. Hybrid cars will also be treated differently from 2026 onwards Thus, only the most fuel-efficient hybrids (emissions of less than 50g CO2 /km) will fall under the specific tax deduction for hybrids.
Tax deductibility for (plug-in) hybrids again depends on CO2 emissions. For this, it is best to consult the table from the Belgian government on the MinFin website.
So from 2026, only fully electric (BEV) company cars will be 100% tax-deductible and only some PHEV models will be tax-deductible!