Belgium Tax Savings Simulator

Vehicle Amount (€): Turnover (€): Vehicle Type: Electric Hybrid Thermal Number of Years: Tax Rate (%): Calculate

Documentation

Key Calculations

1. Tax Deduction

\[ \text{Deduction} = \frac{\text{Vehicle Cost}}{\text{Years}} \times \text{Deduction Rate} \]

Deduction rates vary by vehicle type and year as follows:

• Electric vehicles:
  • Year 1: 100%
  • Year 2: 100%
  • Year 3: 100%
  • Year 4: 100%
  • Year 5: 100%
• Hybrid vehicles:
  • Year 1: 75%
  • Year 2: 50%
  • Year 3: 25%
  • Year 4: 0%
  • Year 5: 0%
• Thermal vehicles:
  • Year 1: 75%
  • Year 2: 50%
  • Year 3: 25%
  • Year 4: 0%
  • Year 5: 0%

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2. Depreciation

\[ \text{Depreciation} = \frac{\text{Vehicle Cost}}{\text{Years}} \]

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3. Taxable Income

\[ \text{Taxable Income} = \text{Turnover} - \text{Deduction} - \text{Depreciation} \]

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4. Tax Savings

\[ \text{Tax Savings} = (\text{Turnover} \times \text{Tax Rate}) - (\text{Taxable Income} \times \text{Tax Rate}) \]

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5. ATN Calculation

\[ \text{ATN} = \max\left(1600,\ \frac{6}{7} \times \text{Vehicle Cost} \times \text{Age Percentage} \times \frac{\text{CO2 Percentage}}{100}\right) \]

Where CO2 percentage is calculated as:

\[ \text{CO2 Percentage} = \begin{cases} 4\% & \text{for electric vehicles} \\ 5.5 + 0.1 \times (\text{CO2 Emissions} - 78) & \text{for other vehicles} \end{cases} \]

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6. Net Tax Savings

\[ \text{Net Tax Savings} = \text{Tax Savings} - (\text{ATN} \times \text{Tax Rate}) \]

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7. Total Cost

\[ \text{Total Cost} = \text{Vehicle Cost} - \text{Net Tax Savings} + \text{ATN} + \text{Solidarity Tax} \]

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