Belgium: Changes to employer expense reporting for employee reimbursements, effective 1 January 2022

Changes to tax forms 281.10 and 281.20

Changes to tax forms 281.10 and 281.20

There are changes to tax forms 281.10 and 281.20 concerning reporting by employers of employee-related expenses, effective 1 January 2022.

Historically, costs that an employee (or independent company director) incurs during the execution of an employment contract (or pursuant to a management agreement), but that are in fact borne by the employer, qualify as eligible expenses. The reporting of lump-sum reimbursements of these expenses is already required, but in a simplified manner. These expenses are also generally paid via the wage administration or payroll system.

Changes to this reporting system reflect the following:

  • Circular 2021 / C / 20 (relating to the employer payments for teleworking by employees) clarifies that the amount of teleworking allowances must be reported on the tax forms (as of 1 January 2022).
  • Law of 27 June 2021 (Loi du 27 juin 2021) adds a new reporting obligation with regard to the reimbursement of expenses specific to the employer. This new legislative requirement reflects the rapid development of teleworking by employees. Under these new reporting requirements, supporting documentation is to be provided by the employee. More practical guidance is expected in January 2022.

Read an October 2021 report (French) prepared by the KPMG member firm in Belgium 

 

The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.