In its summer agreement, the Wever government confirmed the outline of a tax reform which will extend throughout the legislature, until 2029.
The measure which will have the most impact on the net income of citizens will be the increase in the tax exempt from taxes. This is part of the annual income which is not at all taxed during the tax return that each Belgian completes each year.
For income from 2025, this tax exempt from taxes will be 10,910 euros. In theory, this income part should be taxed at 25%, but since it is exempt from taxes, it is no longer taxed at all.
The government announced this tax exempt from taxes on Monday, July 21, will be noted at 15,300 euros in 2029, “With a first step in 2026“, which is not specified. We do not know at this stage if this exempt quota will be indexed beyond 15,300 euros announced.
By 2029, this quota of 10,910 euros to 15,300 euros implies that 4,390 euros will no longer be taxed at 25%, but at 0%. This measure will increase the net income of workers by € 1097.50 each year in 2029 compared to this year.
This tax exempt from taxes is increased when the taxpayer or cleaning has one or more dependent children. And for the first child, the government plans to increase the tax exempt from taxes by 670 euros):
| Number of dependent children | Increase in the tax exempt income tax 2024 income year (tax exercise 2025) |
|---|---|
| 1 dependent child | 1920 euros (this amount will be increased at 2,650 euros in 2029) |
| 2 dependent children | 4950 euros |
| 3 dependent children | 11.090 euros |
| 4 dependent children | 17.940 euros |
| More than 4 dependent children | 17,940 euros + 6,850 euros per child from the 5th child |
The government, on the other hand, wishes to ultimately eliminate the progressiveness of the majority of each child. In other words: a child = a child.
In theory, this measure also concerns job seekers, but these will be penalized by another reform: the end of the tax advantage on their income. One in the other, they might not gain much by taking into account the two reforms.