Flemish government introduces four new support zones

Companies that invest in a qualifying support zone may benefit from a partial wage withholding tax exemption of 25% of the wage withholding taxes for a period of two years for each additional job created as a result of the investment and maintained for at least three years (small and medium-sized enterprises) or five years (large enterprises).

As from 1 November 2024, the three existing support zones in Flanders will be replaced by four new support zones for a period of six years. The new support zones will be:

• Wielsbeke;

• Machelen-Vilvoorde;

• Turnhout-Beerse; and

• Lanaken.
  

As a result, for small and medium-sized enterprises, a very large part of Flanders will fall within the scope of the new defined support zone.

For large enterprises, the incentive remains applicable only to qualifying investments in communes which have been recognized by the European Commission, which are:

• In the province of Limburg: Beringen, Bilzen, Dilsen-Stokkem, Genk, Ham, Hechtel-Eksel, Heers, Hoeselt, Houthalen-Helchteren, Lanaken, Leopoldsburg, Lommel, Lummen, Maasmechelen, Oudsbergen, Pelt, Tessenderlo, Tongeren, and Zutendaal; and

• In the province of East-Flanders: Geraardsbergen, Ninove, and Ronse.