Glossary Taxation — vocabulary in context
Property tax, PIT, cadastral income.
24 definitions · 4 clustersView by concept
4 semantic hubs · 24 connected terms
Each cluster groups a central concept and its related terms. Click to explore.
C
Cadastral income →
The cadastral income (CI) is a notional income attributed to each property by the land registry in Belgium. It represents the normal annual net rental income and serves as the basis for calculating property tax and income tax on property.
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Property tax
The property tax (precompte immobilier) is an annual regional tax calculated on the cadastral income of a property. It is owed exclusively by the owner and cannot be charged to the tenant.
Land registry
The land registry is the public register listing all land properties in a territory, serving as the basis for calculating cadastral income and property tax in Belgium.
Tax return
The tax return is the annual document in which the taxpayer declares their income, including property income (cadastral income) and rental income where applicable.
Municipal tax
The municipal tax is a local tax levied by the municipality, added to the property tax as additional centimes. The rate varies considerably from one municipality to another.
Rental income
Rental income is all sums received by a property owner in return for letting a property, including rent and recoverable charges.
C
Capital gain →
A capital gain is the profit realised when reselling a property at a price higher than its acquisition price, potentially taxable in Belgium if the resale occurs within a short period.
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Capital loss
A capital loss is the financial loss observed when reselling a property at a price lower than its acquisition price. It is not tax-deductible in Belgium for individuals.
Unrealised gain
An unrealised gain is an increase in property value not yet crystallised through a sale, representing a potential enrichment of the owner.
Notary fees
Notary fees are all costs related to a notary's involvement in a property transaction: fees, registration duties, administrative costs and VAT.
Personal income tax
Personal income tax (IPP) is a progressive tax levied on all income of a Belgian taxpayer, including property income via the cadastral income.
Other terms
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Cadastral transfer
A cadastral transfer is a change made to the land registry following a change of owner, plot division or modification of the property's nature.
Disposable portion
The disposable portion is the share of an estate that a person can freely dispose of by gift or will, after deducting the statutory reserve due to protected heirs.
Land tax
Land tax is the former term for the tax on built and unbuilt properties, replaced in Belgium by the property tax (precompte immobilier).
Markdown
A markdown is a reduction in the value of a property compared to its market value, which may result from defects, location disadvantages or legal constraints.
Matrimonial regime
The matrimonial regime is the set of legal rules governing the financial relations between spouses, influencing the ownership and management of the couple's property.
Natural persons tax
The natural persons tax is the official name for personal income tax in Belgium, an annual progressive tax calculated on all net income of a resident, including property income.
Property VAT
Property VAT is the value added tax applicable to new constructions and major renovations, at a rate of 21% or a reduced rate of 6% for renovations of dwellings over 10 years old.
Regional tax
The regional tax is the base tax levied by the Region (Brussels, Wallonia or Flanders), forming the foundation of the property tax to which provincial and municipal additional centimes are added.
Second home
A second home is a property used occasionally, distinct from the primary residence, subject to specific taxation including property tax and an additional municipal tax.
Do not confuse
Cadastral income vs Rental income
The cadastral income (CI) is a notional income attributed to each property by the land registry in Belgium. / Rental income is all sums received by a property owner in return for letting a property, including rent and recoverable charges.
Cadastral transfer vs Cadastral income
A cadastral transfer is a change made to the land registry following a change of owner, plot division or modification of the property's nature. / The cadastral income (CI) is a notional income attributed to each property by the land registry in Belgium.
Capital gain vs Capital loss
A capital gain is the profit realised when reselling a property at a price higher than its acquisition price, potentially taxable in Belgium if the resale occurs within a short period. / A capital loss is the financial loss observed when reselling a property at a price lower than its acquisition price.
Did you know
This glossary contains 24 definitions
Each term is explained in the Belgian legal context, with the specificities of the 3 Regions (Brussels, Wallonia, Flanders). Definitions include practical examples and links to reference articles.
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