Executive summary
A draft law is currently under consideration by the Belgian Government to introduce the possibility for companies to carry back the losses incurred during the COVID-19 crisis to offset the taxable profits of the previous financial year. A “recovery reserve” would also be introduced, allowing companies to reduce their profits for tax years 2022, 2023 and 2024 by creating a tax-free reserve up to the amount of the losses incurred in 2020.
These fiscal stimulus initiatives are still…