When you decide to register a company in Belgium, it’s important to note that the first steps you should take is incorporating and registering your company. In order to do this, you must first choose three company names. The chosen names are then submitted with the competent authorities in Belgium for a confirmation.
Most foreign companies that decide to make investments in Belgium opt for branches or subsidiaries. However, it’s important to note that a Belgian branch is not considered a separate entity from the parent company, whereas the subsidiary does have the status of a separate company in Belgium. The branch simply serves as an extension of the parent company, without having its own stock or a board of directors.
Belgium is one of the countries that signed double tax treaties over the years with a vast network of countries. The treaties have as a model the OECD Model Taxation convention in Income and Capital. They provide regulations regarding the taxation of income and capital for Belgian companies that have foreign shareholders.
Belgium is one of the best locations in Europe for foreign investors who wish to commence any type of business, or who would like to open a company or a subsidiary in this country. The Belgian Government offers various incentives and benefits regarding tax rates, in order to create a profitable and attractive climate for foreign investors.
A holding company is a type of company that focuses in acquiring and managing shares of other companies or in controlling other companies. A holding has the role of structuring the organization and financing the activities of other companies. Holding companies are not limited to these activities, as they can also perform other activities as well, such as commercial transactions or property purchase transactions. Foreign ownership is permitted in Belgium for holding companies.
Belgium has one of the best-developed banking systems in Europe as well as one of the largest banks per person ratios in the world. Electronic banking is something very common in this country, which allows you to open a bank account online, quick and easy. However, this policy varies from bank to bank and you need to inform the bank when you are issued a residency permit.
Usually it takes approximately to weeks to obtain a credit or debit card, together with the PIN codes and the necessary passwords to manage your account.
In Belgium, companies usually have to pay various taxes, depending on the type of company, their activities, gained capital and other factors.
Citizens from the European Union don’t require work permits to seek employment in Belgium. However, non – EU citizens must obtain a work permit, usually applied for by the potential employer, in order to be entitled legally to work in the country.
Belgian authorities usually require a work permit or another type of evidence to prove the fact that the employer has applied for one on behalf of the employee, before the respective person can apply for a residence permit or for a long – stay visa.
Tax payment in a country is considered the main income source in order to provide for need of the people and legal entities. Belgium is one of the most progressive countries in the EU because of its efficient tax system.
For residents or companies operating in Belgium, the taxes vary in accordance to monthly salary, properties, capital gain, type of company and other factors. Like in any country, there are different types of taxes in Belgium.
