Tax

The framework for the automatic exchange of information by Belgian financial institutions pursuant to FATCA, CRS and DAC 2 has implemented in Belgian law.

At the end of 2015, the Belgian Parliament adopted the law implementing simultaneously the US-Belgium Intergovernmental Agreement of 23 April 2014 regarding the implementation of FATCA, the multilateral agreement of 29 October 2014 within the framework of the Common Reporting Standard (CRS) and the Directive 2014/107/EU on mandatory automatic exchange of information (DAC 2).

The law provides for the Belgian internal framework which allows to require entities that are considered Belgian financial institutions to identify and report relevant information about accounts held by US persons and OECD member state residents to the Belgian Tax Authorities. It contains definitions and procedures to be followed by Belgian financial institutions, among others, with regard to who has to report, what information should be reported, in what manner and when.

The first FATCA reporting (relating to the period between 1 July an 31 December 2014) was in principle due within 10 days after the publication of the law. However, as announced on the e-service platform of the Belgian tax administration, the deadline was extended until 15 April 2016 (regarding the 2014 documentation). The 2015 documentation should be submitted between 16 April and 30 June 2016.

CRS and DAC 2 are applicable with respect to qualifying financial accounts held with Belgian financial institutions as of 1 January 2016. Reporting will occur for the first time mid-2017.