The platform for Belgium's international community

Search form

menu menu

Tax return

Question

Hello, I am a Belgian citizen and since many years buy share in US stock exchange through company employee shares benefits plan. So, every month certain amount from the net salary is cut to buy the shares. I have never declare this in the Belgian tax return. I want to know if I declare them this year then should I expect a fine for declaring it? any idea about the amount? Is someone else in similar situation? Thanks in advance

anon

You are buying shares through your company's employee share benefit plan.

Speak to your HR department.

However, the fact of owning shares does not need to be declared anywhere.

What does need to be declared is if you get dividend income from those shares, or if you have sold them and realized a capital gain, which under certain (very limited) circumstances can be taxable.

Jun 6, 2019 16:57
J

There's a reason why Belgian companies don't do employee-share-purchase schemes. Someone explained over a decade ago, and I can't remember what the reason was. I'd ask a professional about how to come clean if I were you. You might avoid the fine by catching up on the backtaxes.

Jun 7, 2019 02:00
anon

Unless you've been getting dividend income from these shares, or you are buying them at a discount, and selling them for gain, there is no tax liability.

Many Belgian companies do have share purchase schemes. What J may be talking about is the trend back in the 1990's / 2000's when US companies gave share options to employees. The problem with that was that you were taxed on a theoretical value when you received them, and not when you exercised the shares (in some cases many years later, and for some unfortunates the value of the options went to zero in the internet bubble of 99/00 and they ended up paying taxes on something that had no value).

However, from what you say, your situation is very different, you are buying the shares.

As this is a company sponsored plan, the best thing you can do is speak with your colleagues, and your HR department to find out the situation.

Jun 7, 2019 09:29