Important Message Regarding the Conversion of Bearer Shares:
Act before 31 December 2011
After lengthy negotiations, Belgium's government-in-waiting
has finally agreed on a budget for 2012. The proposed budget
provides for several new tax measures.
The purpose of this newsflash is to draw your attention to one
specific measure which is particularly important for the holders of
bearer shares. Effective 1 January 2012, a new tax of 1% will be
applied to the conversion of bearer shares into dematerialised or
registered form. This tax will be increased to 2% on 1 January
2013. Therefore, it may be wise to act before year's end.
The base on which the new tax will be calculated is not yet
clear. For listed shares, the tax base will normally be the market
value of the share. For unlisted shares, however, the tax base is
likely to be determined either with reference to a price at which
the share was recently traded or the company's net asset
value.
