Electric vehicle sales continue to rise in Belgium, despite the pressures of the COVID-19 pandemic on markets. For instance, in March Belgium’s auto sales dropped overall by 48%, whereas plug-in vehicle sales rose by almost 40%. This recent surge in EV sales now puts the PEV market share at just under 9% in Belgium, almost triple their 2019 PEV market share (roughly 3%). Since 2014, regional governments have launched various schemes that have enabled this boost in sales, from tax incentives to banning polluting vehicles. There has also been substantial investment in improving EV infrastructure in the country. Recent data suggests that EV charging infrastructure increased from 16% to 36% by the middle of 2019. Read on for the latest incentives for EVs in Belgium:
EV Incentives in Belgium
National EV Incentives
Tax Benefits
- Annual road tax and BIV:
- EVs are exempt from annual road tax and registration tax (BIV).
- Company tax:
- The company expense tax-deductibility is 100% for BEVs emitting fewer than 42g CO2/km. Applicable for companies and ZZP (Zelfstandige Zonder Personeel).
- For more information, click here.
Local & Regional EV Incentives
Tax Benefits
- Annual road tax :
- Flanders: EVs are permanently exempt from paying annual road tax. PHEVs are exempt until the end of 2020.
- Brussels and Wallonia: Electric cars have the lowest rate of annual ownership (circulation) tax (€83.56 as opposed to €1,900).
- Residential market: 30% of the purchase price for EV, with a maximum of €9,190 (via taxes, not directly from invoice)
- For more information, click here.
- Registration tax (BIV):
- Flanders: EVs are permanently exempt from registration tax. PHEVs are exempt until the end of 2020. In Wallonia and the Brussels Capital Region, there is a minimum BIV of €61,50.
- Brussels and Wallonia: Fully-electric vehicles (BEV) pay only the minimum rate (€61.50).
- In Wallonia additional incentive for the purchase of EV via a bonus-malus system (up to €3,500)
- For more information, click here.
EV Charging Incentives
EV Charging Incentives for Businesses
- Companies operating under the corporate tax system can benefit from a 13.5% deduction on investments in charging infrastructure – this means a saving of up to €14,375.
- Brussels: a tax savings of up to €75 on office parking spaces is waived for companies that install charging units.
Belgium focuses on tax incentives to boost its EV market
The latest EV auto market figures reveal the success of Belgium’s incentives over the last six years and the potential for market growth in the next decade. Despite purchase subsidies ending this year, the country continues to promote electric mobility with tax breaks for EVs and chargers. To learn more about EV and EV charging incentives in other European countries compared to Belgian subsidies, read our complete EU EV incentives guide.
