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Lower registration fees, more net pay and company cars taxed more heavily: this will change on January 1


New registration tax rates

Registration rights in Flanders have been reformed several times in recent years. And that is now happening again. Because from January 1, the registration fees for the purchase of a first house or apartment will decrease from 6 to 3 percent.

At the same time, the rate is increased for those who buy a second, third, fourth, … home. Those registration fees go from 10 to 12 percent. This also applies to those who purchase a building plot from 1 January.

Salary reduction of Flemish MPs

Flemish Members of Parliament will at the start of the new year earn five percent less. At the end of December 2019, a resolution was unanimously approved to cut MPs’ allowances by five percent, but it had still not been implemented.

About two years ago, the Flemish government announced savings, including in the cultural sector. As a counterbalance to the criticism, the wages of the Flemish MPs would fall by five percent. However, it took until now before that decision was actually implemented. It was the far-left opposition party PVDA that dusted off the resolution.

More pay for employees

Many employees, on the other hand, see their net wages rise again in the new year. They will have an average of 20 to 30 euros more per month. This is due to an indexation of the tax scales, but also due to a better calculation of the withholding tax, the taxes that we pay through our wages.

In addition, wages will continue to rise due to high inflation. For example, half of all white-collar workers will earn 3.5 percent more from January. You can read more about this here.

Dormant energy contracts

Energy suppliers are allowed to use so-called “dormant energy contracts” no longer automatically renew. These are contracts that are actually no longer available on the market, but are tacitly renewed, so that the consumer often pays a higher price. From now on, suppliers must propose an alternative to customers with such a contract.

“De Inspecteur” on Radio 2 discovered at the beginning of 2021 that more than half a million Belgian families have such a dormant energy contract and thus pay an average of 600 euros too much annually for their energy.

For contracts of indefinite duration, the energy supplier has until 1 March to align its commercial practices with the new legislation.

New oil boilers banned

If there is natural gas in your street, you may no longer replace your heating oil installation with a new one from 1 January. You will then have to switch to a different heating method. A repair of an existing installation is still allowed.

The Flemish government emphasizes that fuel oil is one of the most polluting fossil energy sources. About 40 percent of greenhouse gas emissions from home heating come from the use of fuel oil, while only 16 percent of homes are heated with it. That is why fuel oil must be phased out in favor of less polluting fuels. From April there will also be fines, from a minimum of 3,000 euros.

New integration process started

The new Integration and Civic Integration Decree will also start on 1 January. In this new process, newcomers will have to pay for the courses, among other things. The Dutch course and the social orientation course cost 90 euros each and each exam taken also costs 90 euros. A route of at least 360 euros.

Another novelty in the decree is that NT2 students will soon also have to take a standardized test to achieve language level A2. The Flemish Education Council (Vlor) finds it unacceptable that the tests are introduced without preparatory scientific research. The exact timing of the mandatory tests is still unclear.

The reform plans have been met with considerable criticism in recent months, not only from the Vlor but also from the Flemish social partners (SERV). They fear that the plans will create additional barriers for newcomers. Many civil society organizations and the professional field itself have already criticized the new policy.

Sexologist partly reimbursed

Sessions with the sexologist are partly reimbursed for the first time. The Neutraal Ziekenfonds Vlaanderen and the Vlaams & Neutraal Ziekenfonds reimburse ten euros per visit, up to ten sessions. So you can get back up to 100 euros per calendar year. These two health insurance funds only intervene for a visit to a clinical sexologist who is recognized by the Flemish Association for Sexology (VVS).

Some other Flemish health insurance funds also intervene in sessions with a sexologist. But that falls under the broader heading of “psychological counseling”. They therefore make no distinction between sexological and psychological care.

More expensive stamps

Stamps will become more expensive from January 1. Bpost increases the price of non-prior stamps by 8 percent, that of prior stamps by more than 18 percent. The price of the cheapest stamp (non-prior stamp in a sheet of ten stamps) thus rises to 1.16 euros each. Anyone who only buys one non-prior stamp will have to pay 1.19 euros for it from January. A prior stamp will cost 1.89 euros, or 1.86 euros each in a pack of ten.

Stamps for shipments to other countries will also change price at the beginning of 2022. Sending a letter abroad is no longer possible for less than 2 euros. The cheapest rate here is 2.09 euros, which is for a stamp for shipment within Europe bought in a package of at least five stamps. The price increase should partly compensate for the increasing costs per letter issued, now that digital communication is increasingly used.

(Read more below the photo)

Car inspection more expensive

In the new year, the prices for car inspection in Flanders will also be increased, adjusted to the index. This is reported by Goca Vlaanderen, the sector federation for car inspection. For example, the inspection for a petrol car increases from 37.20 to 38.90 euros. For a diesel car, this will be EUR 47.70 instead of EUR 45.60 from 1 January. A re-inspection now costs 13.80 euros. For a second-hand inspection (including the application for registration and Car-Pass) that will be 76.60 euros. You will find a detailed list of rates here.

Commercial vehicles taxed more heavily

From 1 January, taxes on diesel and petrol commercial vehicles will increase. The taxable benefit of these cars increases due to the annual adjustment of the reference CO2 emissions, the average emissions of newly registered cars.

If your employer provides you with a company car, and you are also allowed to use that car for private trips, the tax authorities consider this a taxable benefit. The benefit in kind is calculated according to a special formula. This formula takes into account, among other things, the CO2 emissions and the catalog value of the car.

More information about this can be found in this article.

Immediate fine for bicycle thieves

Anyone who dares to steal a bicycle in the new year can expect an immediate fine of 250 euros. For electric bicycles, the fine is even 400 euros. From 1 January, the government will introduce a close-knit policy against bicycle theft.

Every day about 230 bicycles are stolen in our country. At the moment, hard action is often not taken because the police and the public prosecutor have their hands full with more serious crimes. The government wants to tackle this feeling of impunity with the tit-for-tat policy.

The immediate fine, which can be paid via bancontact, a QR code or bank transfer, has the advantage that bicycle theft can be punished quickly and firmly without overloading the police and the judiciary. Until now, after a red-handed bicycle theft, the police first had to interrogate the suspect, whether or not in the presence of his lawyer, after which the prosecutor’s office starts the prosecution.

Locksmith identification card

Locksmiths must be able to present an official identification card to their customers in the new year. Today there are still too many unreliable locksmiths who overprice, do a poor job and often change phone numbers, making them difficult to trace.

Locksmiths will not get that identification card just like that. They must meet two requirements: sign a code of conduct and have the technical competence. Thanks to the identification card, you can be sure that you are dealing with a competent and honest locksmith. In addition, there will also be checks on those cards.

C. Barton van Flymen

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