The Belgian Tax Regime for Copyrights

The legal framework

Belgian copyright is governed by Book XI of the Code of Economic Law. It protects an original work, meaning one that reflects the author's own intellectual creation through free and creative choices. The author is always a natural person. A company can hold rights only through a transfer or a licence from its author.

For income tax purposes, a person who transfers or licenses copyright in return for a fee can, under conditions, see that fee treated as movable income. Instead of the progressive rates on professional income, a 15% withholding tax applies, deducted by the payer. This is the regime that the Programme Law of 26 December 2022 reformed with effect from 2023.

What the 2023 reform changed

The reform narrowed the regime and tightened its conditions. In broad terms:

• the rights must be transferred or licensed to a third party for a qualifying use, such as public communication, public performance or reproduction;
• where the rights are tied to services, such as work created under an employment contract or for a client, only a limited share of the total remuneration may be allocated to the copyright, and the amount must be consistent with market practice or an existing ruling;
• copyright fees must not simply replace existing professional income;
• an annual ceiling, indexed each year, applies. If the average of previous years exceeds it, the presumption of movable income falls away for the current year;
• the categories of creators were narrowed, and software developers were left outside the regime.

Changes for 2026

Legislation adopted in July 2026 re-admits software to the regime, with effect from 1 January 2026. At the same time, the flat-rate deduction of costs is now limited to holders of a certain artist certificate. Others can deduct their actual costs if they prove them. The amount of the ceiling and the details of the cost deduction have changed more than once, so confirm the figures for the relevant income year before relying on them. Early commentary also noted that some cross-references in the new text still needed to be aligned.

Documentation and challenge

The tax administration looks at three things: whether there is a protected work, whether there is a real transfer or licence, and whether the fee is proportionate to the value of the rights compared with the other services. It challenges arrangements that look like relabelled salary. The taxpayer has to show the creative input that gives the work its personal stamp.

In practice

A software company in Leuven pays a developer a salary and a separate copyright fee for the code she writes. The employment contract states that she transfers her economic rights in the software to the company. The fee is set by a method that links it to the value of the rights, for example by reference to what comparable licences earn, and its share of her total remuneration stays within the limit for fees linked to services. The company withholds 15% and keeps the agreement, the method and a list of the works. If the administration asks, the file explains the basis.

A graphic designer in Antwerp works as a freelancer. She licenses her illustrations to a publisher for a fee. She meets the conditions as the author, the fee is for the licence, and she holds written agreements per project. The question will be whether she can use the flat-rate cost deduction or must prove her actual costs.

A third case does not work: a consultant is paid a fixed monthly amount labelled as copyright for presentations he never specifically transferred, with no list of works. The administration can reclassify the whole amount as professional income, with social security consequences and penalties.

In each case, the practical steps are the same: identify the works, put the transfer or licence in writing, justify the allocation, and keep evidence. Our Document Studio is used for the agreements. Our portfolio platform includes a register of copyright works with their history, which helps to link payments to works.

Frequently asked questions

Who can use the regime?

Natural persons who are authors of original works and who transfer or license rights to a third party, within the limits of the reformed regime. Software developers were excluded from 2023 and are readmitted by the 2026 legislation. Whether a particular profession qualifies depends on the work and not on the title.

Does the regime apply to employees?

Yes, if the employment contract provides for a transfer of copyright, the allocation is limited and market-based, and the conditions are met. The fee must not replace normal salary.

Is there a ceiling?

Yes, an annual indexed ceiling applies, with an averaging test over previous years. The amount has changed over time, so check the current figure.

What happens if the administration disagrees?

It can reclassify the fee as professional income. The taxpayer can then object and appeal, with the burden of showing that the conditions are met.

How this connects

If you wish to apply the regime, our copyright tax regime service covers eligibility, agreements and defence. For how courts see the originality requirement for professionals, read Copyright and Lawyers: the Court of Cassation, and for the wider set of Belgian incentives see grants and tax incentives for IP.