{"id":15624,"date":"2023-10-24T16:42:54","date_gmt":"2023-10-24T14:42:54","guid":{"rendered":"https:\/\/fix-blog.local\/blog\/progressive-tax-brackets\/"},"modified":"2026-03-18T14:33:37","modified_gmt":"2026-03-18T13:33:37","slug":"progressive-tax-brackets","status":"publish","type":"post","link":"https:\/\/www.accountable.eu\/en-be\/blog\/progressive-tax-brackets\/","title":{"rendered":"Tax brackets Belgium 2026"},"content":{"rendered":"\n

As a self-employed individual with a sole proprietorship, your income is taxed under the personal income tax regime. But even if you have a company and receive a salary as a company director, you report this through your personal income tax declaration.<\/strong><\/p>\n\n\n\n

In Belgium, personal income tax operates on the basis of progressive tax brackets, which increase as your income rises. This is in contrast to flat taxes, such as corporate tax and VAT, where you always pay the same tax rate.<\/strong><\/p>\n\n\n\n

How do tax brackets in Belgium work?<\/h2>\n\n\n\n

The Belgium tax brackets are designed to protect those earning the lowest wages and make the tax system as fair as possible.<\/p>\n\n\n\n

In this way, the government can levy higher taxes on higher wages, while everyone still pays the same tax rate per bracket.<\/p>\n\n\n\n

Those who earn more only pay the higher tax rate on the higher portion of their income.<\/strong><\/p>\n\n\n\n

How much tax do you have to pay when you\u2019re self-employed in Belgium?<\/h2>\n\n\n\n

To calculate how much personal income tax you have to pay as a self-employed individual in a sole proprietorship or as a company director in a company, it\u2019s essential to understand the progressive tax brackets.<\/p>\n\n\n\n

Tax brackets Belgium 2026<\/h2>\n\n\n\n

This year (2026), you pay taxes on your income from the previous year (2025), according to the rates below. The income you earn this year will only be taxed next year.<\/p>\n\n\n\n

In Belgium, there are four tax brackets: 25%, 40%, 45%, and 50%. <\/p>\n\n\n\n

These are the tax brackets for the tax year 2026 (declaring 2025 income)<\/strong>:<\/p>\n\n\n\n

Bracket 1<\/td>\u20ac0.01 to \u20ac16,320<\/td>25%<\/td><\/tr>
Bracket 2<\/td>\u20ac16,320 to \u20ac28,800 <\/td>40%<\/td><\/tr>
Bracket 3<\/td>\u20ac28,800 to \u20ac49,840<\/td>45%<\/td><\/tr>
Bracket 4<\/td>Over \u20ac49,840<\/td>50%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Next year (2027), you’ll pay taxes on your income from this year (2026). These tax rates will then apply:<\/strong><\/p>\n\n\n\n

Bracket 1<\/td>\u20ac0.01 to \u20ac16,720<\/td>25%<\/td><\/tr>
Bracket 2<\/td>\u20ac16,720 to \u20ac29,510\u00a0<\/td>40%<\/td><\/tr>
Bracket 3<\/td>\u20ac29,510 to \u20ac51,070<\/td>45%<\/td><\/tr>
Bracket 4<\/td>Over \u20ac51,070<\/td>50%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

You can always find the current amounts on the FPS Finance website<\/a>.<\/p>\n\n\n\n

The tax-free amount<\/strong><\/h3>\n\n\n\n

Everyone is also entitled to a tax-free amount.<\/p>\n\n\n\n

In 2026 (for 2025 income), this amounts to at least \u20ac10,910.<\/strong> In 2027 (2026 income year), the tax-free allowance amounts to \u20ac11,180.<\/strong><\/p>\n\n\n\n

    \n
  • Was your net taxable income less than \u20ac10,910 in 2025? In that case, you don\u2019t pay any taxes.<\/li>\n\n\n\n
  • Did you earn more than \u20ac10,910 in 2025? Then you do pay taxes, including on the first \u20ac10,910 of your income.<\/li>\n<\/ul>\n\n\n\n

    In this case, the tax-free allowance is applied as a kind of discount<\/strong> on the total amount of tax you owe.<\/p>\n\n\n\n

    How it works:<\/strong><\/p>\n\n\n\n

      \n
    • The tax-free allowance of \u20ac10,910 is subject to the progressive tax rates, in this case the first bracket of 25%.<\/li>\n\n\n\n
    • This means that the allowance effectively amounts to \u20ac2,727.50 (\u20ac10,910 \u00d7 25%). This \u20ac2,727.50 is deducted as a discount from the total personal income tax you have to pay. <\/li>\n<\/ul>\n\n\n \n
      \n \"bulb\"\n \n
      \n

      The tax-free amount can sometimes be increased depending on your personal situation, for example if you have children or other dependents. <\/strong>Expenses such as childcare, pension savings, or charitable donations can also affect the amount of tax you pay.<\/p>\n <\/div>\n <\/div>\n \n\n\n\n

      Belgium tax brackets: the calculation<\/h2>\n\n\n\n

      To calculate your taxes, you need to know your total taxable amount on an annual basis. In a sole proprietorship, this is the amount left after VAT, professional expenses, and social security contributions.<\/p>\n\n\n\n

      First, you subtract the tax-free amount from this. Then you calculate the taxes for each bracket and add these results together.<\/p>\n\n\n\n

      Example<\/strong>:<\/p>\n\n\n\n

      Suppose you earned a net taxable income (excluding VAT, social contributions, and professional expenses) of \u20ac50,000 in 2025. You need to set aside around \u20ac15,892.50<\/strong>* for personal income tax. <\/p>\n\n\n\n

      Here\u2019s the calculation:<\/strong><\/p>\n\n\n\n

      Tax bracket<\/td>Taxable base<\/td>Tax rate<\/td>Taxes due<\/td><\/tr>
      Bracket 1: \u20ac0.01 to \u20ac16,320<\/td>\u20ac16,320<\/td>25%<\/td>\u20ac4,080<\/td><\/tr>
      Bracket 2: \u20ac16,320 to \u20ac28,800<\/td>\u20ac12,480<\/td>40%<\/td>\u20ac4,992<\/td><\/tr>
      Bracket 3: \u20ac28,800 to \u20ac49,840<\/td>\u20ac21,040<\/td>45%<\/td>\u20ac9,468<\/td><\/tr>
      Bracket 4: Over \u20ac49,840 (in this example up to \u20ac 50,000)<\/em><\/td>\u20ac160<\/td>50%<\/td>\u20ac80<\/td><\/tr>
      Total taxes<\/strong><\/td><\/td><\/td>\u20ac18,620<\/strong><\/td><\/tr>
      Total taxes<\/strong> after tax-free amount<\/strong><\/td><\/td><\/td>\u20ac15,892.50*<\/strong><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

      Calculating the tax-free allowance<\/h3>\n\n\n\n
        \n
      • 10,910 \u00d7 25% = \u20ac2,727.50<\/li>\n\n\n\n
      • You can deduct this amount from your total taxes: \u20ac18,620 \u2212 \u20ac2,727.50
        This leaves \u20ac15,892.50, which is the tax you would pay on your income.<\/li>\n<\/ul>\n\n\n\n

        *In reality the total amount of tax to pay may slightly vary, as depending on where you live in Belgium, you also pay communal taxation.<\/em><\/p>\n\n\n\n

        \n