The recent law reforming personal income tax introduces several fiscal measures aimed at increasing purchasing power and improving the financial (tax) attractiveness of working and entrepreneurship. These measures include changes related to copyrights in the IT sector, family taxation, entrepreneurial deduction, and advance payments, among others.
This article briefly explains the following measures:
- Tax-free allowance and the supplement for dependent children/single parent
- Phasing out of the marriage quotient
- Copyrights reopened for the IT sector
- Restrictions on granting benefits in kind
- Minimum remuneration for small companies
- Advance payments
- Entrepreneurial deduction
For an overview of the other fiscal measures.
Read more: Tax Reform Law Reshapes the Landscape | Securex
Tax-free allowance
The tax-free allowance will be gradually increased over five years from 10,910 euros in income year 2026 to 15,600 euros (indexed amounts) in income year 2030. This means a larger part of income will be exempted from tax, resulting in a higher net income.
This measure targets persons with professional income.
Supplement on the tax-free allowance for dependent children
The supplements on the tax-free allowance for one or two dependent children will be increased over four years starting from income year 2026. From income year 2029 the supplement per child for families with one or two children will be fully equalised.
However, the supplements for three or more dependent children will not be increased and will remain unchanged from income year 2026 onwards.
With these measures, the government aims to modernise the tax-free allowance system and treat children more equally, reflecting the current reality of smaller, single-parent, and blended families.
Supplement on tax-free allowance for single parents
In addition, the extra supplement on the tax-free allowance for single parents will from income year 2029 only be granted to actually single parents. Parents living together de facto will no longer be eligible for this additional fiscal support.
Phasing out of the marriage quotient
The marriage quotient will be gradually phased out from income year 2026, aiming to halve the benefit after four years. This measure also fits within the modernisation of taxation, as today there are more dual-income households than families with only one breadwinner.
The marriage quotient is a fiscal measure intended to reduce the tax burden for couples where one partner has little or no professional income. It works by attributing 30% of the professional income of the earning partner to the partner with little or no income for tax purposes.
Copyrights reopened for the IT sector
The favourable tax regime for copyrights will be reopened from income year 2026 for authors of computer programs, subject to strict conditions.
Read more: The copyright scheme will reopen to the computer field in 2026 | Securex
Restrictions on granting benefits in kind
This measure is very important for company managers whose remuneration often partly consists of benefits in kind (car, housing, mobile phone, etc.). From income year 2026, the total flat-rate estimated benefits in kind may not exceed 20% of the total remuneration granted.
More information about the benefits concerned and the penalty when this 20% limit is exceeded can be found in our separate news article.
Read more: New 20% threshold for benefits in kind | Securex
Minimum remuneration for small companies.
Small companies benefit, under certain conditions, from a more favourable corporate tax rate (20%). One of the conditions is that a minimum remuneration is paid to the administrator. This required minimum remuneration will increase from income year 2026 from 45,000 euros to approximately 50,000 euros.
Advance payments
From income year 2026, self-employed persons and helping spouses are no longer obliged to make advance payments and therefore no longer risk a tax increase. Those who do make advance payments can receive a tax reduction (bonus).
Read more: Your advance tax payments for the second quarter | Securex
Entrepreneurial deduction
From income year 2027 (tax year 2028), you may keep part of your profits and gains tax-free through the new entrepreneurial deduction.
Specifically, this concerns 10% of your profits and gains, with a maximum of 650 euros. That ceiling will rise to 900 euros by 2029.
How can Securex help you?
This reform will also affect your sole proprietorship, whether or not in the form of a company.
Make sure to discuss the impact with your accountant or tax advisor in good time, for yourself, your company and/or your family. If they are a partner of Securex, they can use various Securex calculation tools.
Source
Law of 15 July 2026 on the reform of personal income tax, Moniteur belge 29 July 2026
