Loan at a reduced rate of interest or interest-free loan: rates of interests 2023

Author: Peggy Criel (Legal Expert)
Read time: 2min
Publication date: 02/02/2024 - 11:31
Latest update: 02/02/2024 - 11:34

As an employer, you can allocate a loan to your employees on favourable terms (interest-free or at a a reduced rate of interest ). This constitutes a taxable benefit calculated on the basis of a reference rate of interest. The reference rates of interest for income year 2023 have been published.

On the basis of these rates of interests, the value can be determined of the benefits allocated in 2023 (and 2024 pending the publication of the rates of interests 2024) in the form of various loans.

A. Mortgage loans with a fixed rate of interest

Year in which the loan agreement is concluded

Reference rate of interest guaranteed by a mixed life insurance policy.

Reference rate of interest - Other loans

31 October 2022.

1.77 %

1.77 %

2023

3.14 %

3.14%

B. Non-mortgage loans with a fixed term

Year in which the loan agreement is concluded

Loans to finance the purchase of a car (monthly charge rate)

Other loans (monthly charge rate)

31 October 2022.

0.06  %

0.12 %

2023

0.25 %

0.49 %

C. Non-mortgage loans without a specific term

Year in which the borrower disposed of the loaned sums

Reference rate of interest

31 October 2022.

7.14 %

2023

5.43 %

Source: Royal Decree of 12 January 2024 amending the Royal Decree for the implementation of the 'Code des impôts sur les revenus 1992' with regard to the section of the benefits in kind in the event of allocating an interest-free loan or a loan at a reduced rate of interest, Belgian Official Gazette 25 January 2024.

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