Road Taxes

October 2024

All owners of a motorized vehicle (car, motorcycle, etc.) or a trailer used on public roads in Belgium are required to pay an annual traffic tax. This tax is mandatory in all three regions of the country and applies to passenger cars, dual-use vehicles (station wagons), and minibuses.

When purchasing a car, the tax consists of two parts:

• A one-time registration tax and
• An annual road tax.

In the different regions of the country, these taxes are calculated according to different methods. Below, we provide information on how to calculate your tax based on the region and type of vehicle.

Flanders

For cars registered in Flanders, the registration tax is calculated based on a method that considers various ecological characteristics of the vehicle, including CO² emissions, fuel type, and Euro standard.

Since January 1, 2021, for new registrations in Flanders, the WLTP value has become the standard for CO² emissions, and the formulas have been adjusted accordingly. WLTP stands for “Worldwide Harmonized Light Vehicles Test Procedure,” which translates to “Global Harmonized Testing Procedure for Light Vehicles.” This is a new standard for testing cars, replacing the older NEDC standard. NEDC (New European Driving Cycle) is a standardized test used to measure emissions and fuel consumption of vehicles. WLTP is designed to measure CO² emissions and fuel consumption of cars more accurately under real-world driving conditions.

Also, since January 1, 2021, the tax exemption for the registration tax (BIV) and the annual traffic tax (VB) for newly registered PHEV (plug-in hybrid electric vehicles) and CNG (compressed natural gas) vehicles has been completely removed.

Cars (new or used) registered in Flanders are subject to an annual traffic tax based on fiscal power, emission standards, CO² emissions, and fuel type. Since January 1, 2021, the WLTP value of the vehicle’s CO² emissions has become the standard.

For an accurate calculation of the tax for vehicles in Flanders, we recommend using the simulation tool provided by the Flemish tax administration via the following link.

Brussels

1. For vehicles registered in Brussels (cars registered by leasing companies are also included), the registration tax is calculated based on the fiscal horsepower (FHP) of the vehicle, according to a degressive scale based on the age of the vehicle. If the power of the same engine, expressed in fiscal horsepower (FHP) and kilowatts (kW), corresponds to different amounts, the highest amount is always used as the registration tax.

For electric cars, the TMC amounts to €61.50 (minimum rate). Therefore, CO² emissions do not affect the formulas for the TMC and the traffic tax in Brussels.

2. For vehicles registered in Brussels (cars registered by leasing companies are also included), the annual traffic tax is calculated based on the fiscal horsepower (FHP).

For electric cars, the annual traffic tax amounts to €83.95 (minimum rate).

Wallonia

1. For vehicles registered in Wallonia, the registration tax (TMC) is calculated based on fiscal horsepower (FHP), according to a declining scale based on the age of the vehicle. If the power of the same engine, expressed in FHP and kilowatts (kW), corresponds to different amounts, the highest amount is always taken as the registration tax.

Here, CO² emissions affect the registration tax (TMC) only for vehicles whose NEDC emissions exceed 145 grams, in the form of an “Eco-malus.” The “Eco-malus” is a penalty system applied to cars that have high levels of CO² emissions in the environment. This system imposes fines on owners of vehicles with high carbon dioxide emissions while encouraging the use of more environmentally friendly means of transport.

Pending an official position, the following “practical” solution will be applied for calculating the Eco-malus for new vehicles from January 1, 2021:

• if both WLTP and NEDC 2.0 values are available, the NEDC 2.0 value will be used;
• if only the WLTP value is available, the WLTP value will be used.

2. For vehicles registered in Wallonia, the annual traffic tax is calculated based on fiscal horsepower (FHP).

For electric cars, the annual circulation tax amounts to €83.95 (minimum rate).