The Program Act of 10 August 2015 has introduced a new tax deduction for individual taxpayers (both residents and non-residents) who acquire new shares in a starting small and medium-sized enterprise (SME) even when the investment is made via a recognised crowdfunding platform or via a recognised starters’ fund. This tax deduction amounts to 30% (45% if it concerns micro-companies) of the qualifying amount (which is limited per taxable period) and is only granted if several conditions are met regarding shares, time of acquisition of these shares, and enterprise, in which the taxpayer invests. The tax deduction can be cancelled retroactively in the case where the taxpayer does not meet a four-year holding period. This is applicable to shares issued as of 1 July 2015.
Last Reviewed - 01 July 2019