New rent reporting obligation in income tax return from tax year 2024

As from the tax year 2024 (i.e., the financial year commencing 1 January 2023), the Belgian tax authorities have introduced a new annex to the income tax return, Form 270 MLH (available in Dutch and French), through the introduction of article 370, §2/2, of the Income Tax Code 1992. The form is a mandatory annex to the annual income tax return for tenants and/or holders of real estate rights. The requirement is part of an effort to ensure transparency and compliance in real estate transactions.

Scope 

The reporting requirement applies to all legal entities and natural persons in Belgium who rent real estate or hold rights in property such as leasehold, easement, or usufruct, and are obliged to file an income tax return.

Exclusions 

The obligation to submit Form 270 MLH does not apply to rental fees connected to the delivery of goods or services provided by a taxpayer located in the territory of the European Economic Area and for which a VAT invoice or a “document in place thereof” has been issued. 

Reporting details

For each property, a separate, signed Form 270 MLH must be included as an annex to the return. This form requires specific details, including the identification of the landlord or rights holder, the property’s address, the total rent paid during the taxable period, and the portion of this rent that was claimed as a tax-deductible expense.

Noncompliance

Noncompliance with the reporting obligation carries significant consequences. Failure to accurately complete and submit Form 270 MLH may lead to the nondeductibility of the qualifying payments.