On 14 February 2022, the Belgian parliament approved a law on further support measures for COVID-19. One of the key tax measures is a refundable tax credit for non-recoverable professional expenses incurred in connection with the organization of commercial events that were to take place in the period from 1 October 2021 to 28 January 2022 but could not take place due to measures taken by the federal government, regions, communities, provinces, or municipalities in the context of the COVID-19 pandemic.
The credit is equal to 25% of non-recoverable expenses and is available in respect of corporate tax and non-resident company tax. It is not available for taxpayers that are considered a business in difficulty on the last of the tax period in which the expenses were incurred or were profitable before the application of the credit. The credit is optional for qualifying taxpayers with an election for the credit made with the tax return, which is final, irrevocable, and binding on the taxpayer. Where the election is made, the expenses taken into account for the tax credit are treated as non-deductible.