Reintroduction of the copyright tax regime for IT professionals

Over the summer of 2025, Belgium’s federal government agreed that computer programs would once again fall under the special tax regime for copyright income, which would be a positive development for the IT sector. However, specific limitations must still be considered when applying the regime, as the conditions are stricter than those in place prior to 2023, as detailed below.

If enacted, the change is intended to take effect as from 1 January 2026.

Current tax regime for copyright income

The regime was significantly revised by the program law of 26 December 2022, with the primary objective of returning to its original purpose; namely to apply it only to artistic professions that face higher risks and irregular income.

To achieve this, the scope was narrowed to income derived from the transfer or licensing of copyrights and associated rights with a specific reference to title 5 of book XI of the Economic Law Code (“the code”). This effectively excludes computer programs and databases, which fall under titles 6 and 7 of book XI of the code. Furthermore, the income must relate to the exploitation or actual use of original works of literature or artistic work (article XI.165 of the code) or the performance of executing artists (article XI. 205 of the code). 

As a result of these changes, software development no longer falls within the scope of the regime; however, other digital professions, such as web design or video game development, may still qualify.

Individuals wishing to benefit from the regime must satisfy one of the following conditions: 

• They must hold an artist attestation; or

• The copyright protected work must be made available for communication to the public, public performance, or reproduction. 

Provided the conditions are met, the income derived by individuals from the transfer or licencing of copyrights will benefit from the following tax regime:

• A flat tax rate of 15% on the part of the income not exceeding 30% of the employee’s total remuneration, subject to a threshold of EUR 75,360 EUR (for income year 2025);

• A lump sum cost deduction of a maximum of EUR 15,072,50 (for income year 2025); and

• In certain circumstances, an exemption from employer and employee social security contributions.

Changes proposed in the federal government agreement

Further to the federal government agreement, the copyright regime will once again apply to computer programs, while databases remain out of scope. Although the government appears intent on extending the regime to software development, questions remain regarding the extent to which it may be applied. It also seems that additional requirements (such as holding an artistic attestation or making the work available to a broader audience) will not be removed. As a result, it still needs to be looked into on a case-by-case basis whether software developers creating programs for internal use or tailored to a specific client may qualify. 

Consequently, the practical application within the IT sector could therefore remain more limited than prior to 2023. 

As a next step, employers are advised to reassess whether their workforce, particularly those in digital professions, may benefit from the regime and to carefully consider the associated reward implications.   

It is also recommended to clearly determine the compensation, update the employment contracts, and ensure compliant withholding and reporting.