Glossary

Definitions

10 definitions

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Annual accounts

The annual accounts are the summary document presenting a company's financial position at the close of its financial year: balance sheet, profit and loss account and notes. In Belgium they must be filed with the Central Balance Sheet Office of the National Bank within 30 days of approval by the general meeting, and no later than 7 months after the closing date.

Accountant

An accountant in Belgium is a finance professional entered in the public register of the ITAA, the institute that governs the profession. The title is protected by the law of 17 March 2019: only registered persons may use it, and certain assignments are reserved for certified accountants.

CBE

The CBE (Crossroads Bank for Enterprises) is the official register listing every business and its establishment units in Belgium. Each entity receives a unique ten-digit enterprise number, which also serves as the VAT number once prefixed with BE.

Corporate income tax

Corporate income tax is the tax Belgian companies pay on their profit. The standard rate is 25 %, and a reduced rate of 20 % applies to the first 100 000 € of taxable profit for small companies that meet the legal conditions.

Electronic invoicing

Electronic invoicing means issuing and receiving invoices in a structured format that software can read and process automatically, without human intervention. Since 1 January 2026 it has been mandatory in Belgium between VAT-registered businesses established on the territory, for their B2B transactions.

Engagement letter

The engagement letter is the written contract between an accounting firm and its client. It defines the work entrusted, the allocation of responsibilities, the fees and the conditions for ending the relationship. Drawing one up is an ethical requirement for ITAA members.

ITAA

The ITAA (Institute for Tax Advisors and Accountants) is the Belgian institute governing accountants and tax advisors. Created on 30 September 2020 by the merger of the IEC and the IPCF provided for in the law of 17 March 2019, it keeps the public register of professionals entitled to use those titles.

Peppol

Peppol is an international standardised network for exchanging electronic business documents, invoices among them, between businesses and public authorities. It is the channel Belgium chose for mandatory electronic invoicing between taxable persons since 1 January 2026.

Tax accountant

A tax accountant is a finance professional who keeps clients' books and assists them with their tax obligations. Since the reform that took effect on 30 September 2020, this title inherited from the former IPCF is being phased out: new professionals register with the ITAA as certified accountants or certified tax advisors.

VAT

VAT (value added tax) is a consumption tax that a business charges its customers and then pays over to the State, after deducting the VAT it paid on its own business purchases. In Belgium the standard rate is 21 %, with reduced rates of 12 % and 6 % depending on the nature of the goods or service.