In Belgium
The municipal tax (gemeentelijke opcentiemen) is the component of property tax levied by the municipality. It is expressed as “additional centimes” applied to the regional tax base and typically constitutes the largest portion of the total property tax bill.
The rate is set annually by the municipal council and varies dramatically across Belgium:
- Low-tax municipalities: under 2,000 centimes (e.g. some Walloon Brabant communes)
- Average: 2,500 to 4,000 centimes
- High-tax municipalities: over 5,000 centimes (e.g. some municipalities in Brussels, Liege province)
- Extreme cases: up to 8,700 centimes in some communes
This variation means that the same property, with the same cadastral income, can cost twice as much or more in property tax depending on the municipality.
How it works
The municipal additional centimes are calculated as a multiplier of the regional base:
Example. Regional base = 30 EUR. Municipal centimes = 3,000 (i.e. multiplier of 30). Municipal tax = 30 x 30 = 900 EUR. Total property tax = 30 + 900 = 930 EUR.
Municipalities may also levy additional specific taxes on:
- Second homes: flat-rate annual tax (typically 500 to 1,500 EUR)
- Vacant properties: penalty tax to discourage vacancy
- Unbuilt plots: incentive to develop
Practical example
An apartment with a CI of 1,000 EUR in two different municipalities:
- Municipality A (2,500 centimes): property tax approximately 750 EUR/year
- Municipality B (5,000 centimes): property tax approximately 1,500 EUR/year
Same property value, same CI, double the tax. This impacts the net yield by 0.5 to 1 percentage point.