New regime: from 01/01/2023
More restrictive definition :
Literary and artistic works mainly concerned.
Limitations :
1) Copyright that exceeds 50% (2023 income), 40% (2024 income) or 30% (2025 income)
of an individual's total remuneration will be taxed as professional income (at progressive rates).
Exceptions : these royalties are not linked to the performance of a service or have been received subsequently, independently of the initial remuneration.
2) Deductible expenses :
Actual costs
Or
Flat fee :
50% on the first €10.000 (to be indexed);
25% on the second €10.000 (to be indexed);
0% beyond.
3) After application of the above limits, the copyright will be taxed as follows:
15% on the first €37.500 (to be indexed) ;
30% beyond €37.500 (to be indexed) if the incomes are not from a professional activity;
At a progressive rate above €37.500 (to be indexed) if the incomes are from a professional activity.
4) If the average of the royalties of the previous four taxable periods is higher than €37.500 (to be indexed), the entire year's royalties will be taxed at the progressive rate.
Transitional regime: valid until 01/01/2024
This regime is intended for companies that benefited from the previous regime.
Définition :
Same as the old regime (see article "Copyright: tax advantages?")
Limitations :
1) Points 1) and 4) above are equivalent;
2) Flat-rate deductible expenses reduced by half, i.e. 50% on the first €5.000 (to be indexed) and 25% on the second €5,000 (to be indexed);
3) Limit on the first €37.500 (to be indexed) halved to €18.750 (to be indexed).
Ambre Vanhorebeek, David Bultreys