Belgian Stock Exchange Tax Update

Amendments to the Belgian stock exchange tax: Impacts for the Luxembourg financial intermediaries

The 2017 state budget was adopted by the Belgian parliament on 22 December 2016. As part of the budgetary measures, the legislator expanded the scope of the Belgian stock exchange tax (Taxe sur les operations de bourse/Beurstaks) to cover transactions executed by Belgian residents through non-Belgian financial intermediaries. The amendment may have significant implications for Luxembourg banks and brokers that maintain securities accounts or execute financial transactions on behalf of Belgian residents. Luxembourg fund managers whose funds are distributed to Belgian residents are also affected.