R&D Tax Credits are offered by the government for research and development (R&D) to support innovative businesses with their innovative investments in Belgium. The Investment Tax Deduction (ITD) is a good example of a fiscal measure where, as a SME or large enterprise, you should not have to miss out just because the claiming process can be complex and/or overwhelming.
The Investment Tax Deduction is a fiscal measure that allows for a tax reduction based on investments made during the year (movable and immovable) related to the list of your capital expenditure.
The added value of this measure is that it allows for your taxable base to be reduced. Even then, some investments on your CAPEX list are eligible for an increased investment deduction:
The application conditions for the ITD are location specific and time sensitive. Although it can be tricky to get started, our FI Group specialists consider 3 golden rules:
The R&D process starts with your innovative potential and without you, nothing can be reduced. But once we dive into data and figures, it can get tricky.
One of our expert consultants analyses your innovation potential. Taking a deep dive into your businesses DNA, FI Group researches your company from finances to employee base.
For the ITD, we have a specific look at your CAPEX list, or list of expenditures, to get a sense of your taxable base. Then we take into account the kind of investments we’re talking about, sector and region you are active in. All of these play an important factor when it comes to eligibility, needed documents and deadlines.
Our goals are your success, so we put all our efforts into reaching the maximum possible fiscal saving for your business.
After a first meeting and analysis, expect the necessary technical and administrative support to file your claim with the correct authorities. FI Group writes and completes the report needed to apply you for the ITD and receive the necessary attestation. We manage both the administrative documents needed, such as attestations, as the technical report that describes your investments.
After a file is submitted, the waiting period for the government to decide is about 4-6 weeks. After you are informed of the findings and decisions, you will receive the necessary certificate to file your tax claim! This allows us to offer you our complete R&D services.
Due to the covid crisis, the Belgian government decided to increase the conventional investment tax deduction from 8% to 25% for small enterprises.
This means that small enterprises are no longer able to get a deduction of 25% for energy saving investments or investments in R&D. Enabling us to provide our services to these companies as they will now require an attestation to apply the investment tax deduction.
To further encourage investment in R&D+I, our FI Group consultants help identify, implement and maintain the necessary financial processes. We support you in understanding and intercepting available R&D+I opportunities.
