In short: As of 2026, Belgium taxes private investors three ways. First, a flat 30% withholding tax on dividends and interest (with a reduced 15% on regulated savings interest above the EUR 1,050 exempt slice). Second, a brand-new 10% capital gains tax on financial assets — shares, bonds, funds, ETFs, crypto and more — effective 1 January 2026, with the first EUR 10,000 of net gains per person tax-free each year and a step-up so only gains after 31 December 2025 count. The 10% flat rate applies to ordinary portfolios; substantial participations (holdings of 20% or more) follow a separate progressive scale that tops out at 10%, while a separate flat 16.5% rate applies to a transfer of such a holding to a non-EEA entity. Third, the stock-exchange tax (TOB) on every transaction. Funds holding more than 10% bonds also face the 30% Reynders tax on the bond-linked gain. Rules can change, so verify before filing.
Capital gains and investment taxation in Belgium (2026)
Belgium has long taxed investment income through withholding taxes rather than capital gains. That changed on 1 January 2026, when a brand-new general 10% tax on realized capital gains took effect. This lesson walks you through the whole picture — dividends, interest, ETFs and funds, and the new rules — in plain language. It's general financial education, not tax advice, and as always the rules can change.
Know your three taxes: 30% withholding on dividends and interest, the new 10% capital gains tax from 2026, and the transaction tax (TOB) on every buy and sell.
Use your annual exemptions: EUR 10,000 of net gains per person and EUR 833 of dividends per person are tax-free each year.
For ETFs, check the fund type — accumulating vs distributing, equity vs bond — since this drives both the Reynders tax and TOB rate.
Keep records of your portfolio's value on 31 December 2025; only gains after that date are taxed.
What matters
Withholding tax on dividends and interest. Belgium's headline rate on investment income is a flat 30% — the "roerende voorheffing" / "précompte mobilier". For Belgian-sourced dividends and interest, your bank usually deducts this at source and the matter is settled ("libératoire") — you don't declare it again. Foreign income received without a Belgian intermediary must go in your annual return, where it is taxed at the same flat 30%, not at progressive rates.
Two carve-outs soften this. Regulated savings accounts exempt the first EUR 1,050 per person (EUR 2,100 per couple), and tax the excess at a reduced 15%. Ordinary or term accounts get no such break — their interest is taxed at the full 30%. Separately, the dividend reclaim exemption lets each person recover the 30% withholding on a capped slice of dividends via the return: for income year 2025 (assessment year 2026) that slice is EUR 833, a maximum reclaim of EUR 249.90. The amount is indexed annually (and currently the same EUR 833 is published for income year 2026), so check the figure for the year you're filing. It's per person, so a couple can claim it twice.
The new 10% capital gains tax. This is the big 2026 change. From 1 January 2026 a flat 10% tax applies to realized gains on financial assets in private portfolios — listed and unlisted shares, bonds, funds, ETFs, derivatives, crypto, foreign currency, investment gold and certain life-insurance contracts. The first EUR 10,000 of net gains per person each year is exempt (indexed), and unused exemption can be partly carried forward — up to EUR 1,000 a year over five years. Crucially there is a step-up basis: your cost is reset to the asset's fair market value on 31 December 2025, so everything you gained up to that date stays tax-free. There is no minimum holding period. Losses can offset gains in the same year and category but cannot be carried forward. A separate regime covers substantial participations (holdings of 20% or more): the first EUR 1,000,000 of gain over a rolling five-year period is exempt, then a progressive scale of 1.25%, 2.5%, 5% and 10% applies — topping out at 10%. A distinct flat rate of 16.5% applies instead when such a holding is transferred to an entity outside the EEA.
ETFs and funds. This is where the detail matters most, and it's covered in depth below.
ExampleSuppose you're a single investor who sells ETF units in 2026 for a EUR 25,000 gain — but measured from the 31 December 2025 value, your taxable gain is EUR 14,000. Apply the EUR 10,000 annual exemption: EUR 14,000 - EUR 10,000 = EUR 4,000 taxable. At the flat 10% rate, the capital gains tax is EUR 400. Separately, on a EUR 833 dividend that suffered 30% withholding (EUR 249.90), you can reclaim it via the EUR 833 dividend exemption — recovering up to EUR 249.90. And every buy and sell paid TOB, e.g. 0.12% on an EEA accumulating ETF not registered in Belgium.
Because only gains built up after 31 December 2025 are taxed, your closing-2025 valuation is your new cost base — save those statements. A compound-interest calculator can help you see how the EUR 10,000 yearly exemption shelters a slowly-grown portfolio for years.
In depth
Accumulating vs distributing ETFs
The accumulating-vs-distributing choice is the classic Belgian optimisation. A distributing ETF pays out dividends, which suffer the 30% movable withholding tax each time. An accumulating ETF reinvests those dividends internally, so the investor never receives a taxable distribution — sidestepping the 30% tax on reinvested income. Importantly, Belgium has no German-style Vorabpauschale: accumulation is not itself a yearly taxable event for the equity dividend. This is why Belgian investors have long favoured accumulating equity ETFs. From 2026, though, the new 10% capital gains tax catches the gain on any ETF — accumulating or distributing — when you sell or redeem units, above the EUR 10,000 annual exemption.
The Reynders tax and bond funds
Pre-dating the new regime, the Reynders tax levies 30% on the part of a fund's capital gain attributable to its fixed-income (bond/debt) holdings. It applies to funds invested more than 10% in debt instruments (the threshold was historically 25%, now 10%), and catches both accumulating and most distributing mixed or bond funds. Pure equity ETFs holding 0% bonds are not subject to it. From 2026 an accumulating bond fund faces a split: the bond-attributable gain is taxed at 30% under Reynders, while the remaining equity or other gain falls under the new 10% regime. Checking a fund's bond exposure before buying is therefore essential to understanding your eventual tax bill.
TOB, wrappers and foreign withholding
The stock-exchange tax (TOB) hits both purchases and sales: 0.12% for accumulating EEA funds not registered in Belgium (e.g. IWDA), a steep 1.32% for accumulating funds registered in Belgium, and 0.35% for individual shares, non-EEA funds and distributing EEA funds — each capped per transaction. It is a transaction cost, not an income tax, but materially dents net returns. On foreign dividends, Belgium generally grants no individual credit for foreign withholding tax against the 30% domestic tax, causing economic double taxation; relief comes from reduced treaty rates at source, with a 2025 development allowing a credit on certain French dividends. Pension savings (pensioensparen) and second/third-pillar pensions stay exempt from the new capital gains tax; Branch 21/23 life-insurance gains now fall within it. There's also a 0.15% annual tax on securities accounts averaging over EUR 1,000,000.
Checklist
Did you record your portfolio's fair market value on 31 December 2025 as your new cost base?
Have you used both your EUR 10,000 capital gains and EUR 833 dividend exemptions this year?
Do you know your ETF's TOB rate (0.12%, 0.35% or 1.32%) before buying?
Does your fund hold more than 10% in bonds, triggering the 30% Reynders tax?
Common myths
Myth: Belgium has no capital gains tax, so my ETF profits are always tax-free.
Reality: That was largely true before 2026. Since 1 January 2026 a flat 10% tax applies to realized gains above the EUR 10,000 yearly exemption — though gains built up before 31 December 2025 remain tax-free thanks to the step-up basis.
Myth: Substantial shareholdings are taxed at up to 16.5%.
Reality: Not quite. For holdings of 20% or more the progressive scale tops out at 10% (after a EUR 1,000,000 exemption). The 16.5% rate is a separate flat rate that applies only when such a holding is transferred to an entity outside the EEA.
Is there really a capital gains tax in Belgium now?
Yes. A flat 10% tax on realized capital gains on financial assets took effect on 1 January 2026 (the enabling law was approved by Parliament in April 2026). The first EUR 10,000 of net gains per person each year is tax-free, and only gains accrued after 31 December 2025 are taxable.
Are accumulating ETFs still tax-efficient in Belgium?
For equity ETFs, accumulating versions still avoid the 30% dividend withholding tax on reinvested dividends, and Belgium has no German-style yearly deemed tax on accumulation. But from 2026 the 10% capital gains tax applies when you sell, above the EUR 10,000 exemption.
Do I pay tax twice on foreign dividends?
Often, yes economically. Belgium generally does not give individuals a credit for foreign withholding tax against the 30% Belgian tax, so relief comes mainly from claiming reduced treaty rates at source. A 2025 development allows a credit on certain French-source dividends.
All lessons · Glossary · Editorial · Kontoo does the math and explains – this is general education, not tax, legal or financial advice.
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