Moving to Belgium: A Complete Tax Guide for US Expats

Belgium’s vibrant cities, medieval charm, and world-famous cuisine make it an attractive destination, one that several thousand Americans proudly call home. For US citizens moving to Belgium, the adventure comes with more than cultural adjustments, it also means keeping up with your US tax obligations. Even abroad, the IRS requires you to file annual tax returns, and in Belgium, where tax rates rank among the highest in Europe, avoiding double taxation is a genuine concern.

The good news? With the right strategies, you can take advantage of tax treaties, credits, and exclusions designed to reduce or eliminate your US tax burden. In this guide, we cover everything you need to know about filing taxes as a US expat in Belgium.

Do I Need to File US Taxes from Belgium?

The United States is one of only two countries in the world that taxes based on citizenship rather than residency. As a US citizen or Green Card holder, you must file a US tax return each year, even when all of your income comes from Belgium.

For the 2024 tax year, here are the minimum income thresholds set by the IRS that determine whether you must file a US tax return. The IRS adjusts these thresholds each year for inflation.

Filing Status	Income Threshold
Single	$14,600
Married Filing Jointly	$29,200
Married filing separately	$5
Self-employed	$400
Qualifying Widow(er)	$29,200
Head of household	$21,900

Even if your Belgian income is subject to local taxation, the IRS still requires you to report and pay taxes on your foreign income. The good news is that tax treaties, credits, and exclusions are in place to help prevent double taxation, and in many cases can reduce, or even eliminate, your US tax bill.

US–Belgium Tax Deadlines

US Deadlines (for 2025 income, filed in 2026)

As a US expat in Belgium, you automatically receive a 2-month filing extension to file your US return. Keep in mind, though, that any taxes owed are still due by April 15th to avoid interest and penalties.

Filing	Deadline
Standard US Tax Return (expats get an automatic extension)	April 15, 2026 (expats: June 15, 2026)
Extended US Tax Return (if Form 4868 filed by June 15, 2026)	October 15, 2026
FBAR (FinCEN 114)	October 15, 2026

Belgian Deadlines (for 2025 income, filed in 2026)

Belgium’s tax year also runs on the calendar year. The Personal Income Tax (PIT) return is usually due by June 30 of the following year. The Belgian tax authority (Federale Overheidsdienst Financiën) sends many employees a proposed simplified return, which they must confirm or correct by the deadline. Paper returns are due by June 30, 2026, while certain online filings, including those for self-employment or foreign earnings, may have extended deadlines.

Return Type	Deadline (Paper)	Deadline (Online via MyMinfin)
PIT (Personal Income Tax) Return	June 30, 2026	July 15, 2026
Pre-completed returns (employees)	June 30, 2026	July 15, 2026
Self-employed / complex returns*	June 30, 2026	October 16, 2026

Belgian Taxes for US Expats

You must file a Belgian tax return as a US expat living in Belgium. Your residency status determines how you’re taxed in Belgium, either on your worldwide income or only on your Belgian-sourced income.

Tax Residence

Unlike most countries, Belgium does not apply the ‘183-day rule’ to determine whether you are a Belgian tax resident. Instead, residency is based on a certain degree of permanence. In Belgium, you are generally considered a tax resident if your main home or the center of your personal and economic interests is located there. This usually means your family lives in Belgium, your primary residence is there, or your professional and financial ties are based locally.

Belgium taxes residents on their worldwide income, while non-residents pay tax only on Belgian-sourced income.

• Residents: Tax returns are generally due June 30 (paper) or July 15 (online via Tax-on-Web).
• Non-Residents: Returns are typically due November 10 (paper) or November 25 (online).

Personal Income Tax

Belgium applies a progressive income tax system, with rates ranging from 25% to 50% depending on income level. Both residents and non-residents are subject to these rates.

Income Bracket	Tax Rate
Up to €15,200	25%
€15,200 – €26,830	40%
€26,830 – €46,440	45%
Above €46,440	50%

Social Security Tax

In Belgium, employees and self-employed workers both contribute to the social security system, but the rates differ. Employees pay 13.07% of their gross salary through payroll withholdings, while their employers add another 25–27% on top. Self-employed individuals contribute about 20.5% of their net taxable income each quarter, subject to a minimum of around €906 per quarter.

Capital Gains Tax

Most individuals in Belgium are not subject to capital gains tax, except in certain cases (e.g., real estate sold within 5 years of purchase).

Shares and other securities may also be subject to a stock exchange tax, which ranges from 0.12% to 1.32%.

Corporate Tax

Companies in Belgium pay a flat 25% corporate tax rate on taxable profits.

Value-Added Tax (VAT)

Belgium applies a Value-Added Tax (VAT) on most goods and services, with rates ranging from 6% to 21%. The standard rate is 21%, while reduced rates of 6% or 12% apply to certain essentials such as food, medicines, and some services. Healthcare, education, banking, insurance, and social services are generally exempt from VAT.

Wealth Tax

Belgium applies a 0.15% tax on securities accounts valued at over €1 million.

Inheritance & Gift Tax

Inheritance and gift tax rules vary by region:

• Since 2018, homes inherited by direct family are no longer taxed.
• Gifts are taxed at 3% for family members and 7% for others.

Property Tax

In Belgium, property owners pay an annual property tax called the précompte immobilier or onroerende voorheffing. The tax is based on the property’s cadastral income, which is a government-assessed rental value used as the tax base. Regional and local surcharges typically bring the effective rate to around 20%–50% of that amount. The tax applies whether or not the property is rented out.

Special Expat Tax Regime

Belgium has a special expat tax regime designed to make international assignments more attractive. This program allows you to treat part of your salary as a tax-free allowance for expatriate expenses. Employers can reimburse moving expenses, school fees, or limited housing costs without triggering extra Belgian tax.

The regime usually applies for five years, with the possibility of a three-year extension.

Who qualifies?

• Executives, specialized employees, or company directors recruited or assigned from abroad
• Researchers with a master’s degree in science/technology/academia or at least 10 years of relevant experience (exempt from salary thresholds)
• Individuals who have not been Belgian tax residents in the previous five years

2025 update: The minimum salary threshold will drop from €75,000 to €70,000, the tax-free allowance will increase from 30% to 35% of gross salary, and the €90,000 cap on that allowance will be removed.

Avoid Double Taxation with US Expat Tax Benefits

The United States and Belgium have agreements in place to help prevent double taxation and coordinate Social Security contributions. In addition, the IRS provides tax breaks that can further reduce or even eliminate your US tax bill while living in Belgium.

Foreign Earned Income Exclusion (FEIE)

The IRS gives Americans abroad a powerful way to lower their US tax bill through the Foreign Earned Income Exclusion (FEIE). For the 2025 tax year, you can exclude up to $130,000 of foreign earned income from US income tax, including salary, wages, or self-employment income.

To be eligible, you must meet one of two residency tests:

• Bona Fide Residence Test — you are a resident of a foreign country for an entire tax year.
• Physical Presence Test — you spend at least 330 full days outside the US during any 12-month period.

Both the FEIE and the Foreign Housing Exclusion are claimed using IRS Form 2555.

Foreign Housing Exclusion (FHE)

In addition to the FEIE, you may also lower your taxable income through the Foreign Housing Exclusion. If you qualify for the FEIE and file Form 2555, you can exclude housing costs such as rent, utilities, and insurance.

For the 2025 tax year, you must have qualified housing expenses above $20,800. The IRS caps the exclusion at $39,000 under the standard limit, which means you can exclude up to $18,200 in housing costs. These amounts adjust annually for inflation, and higher caps may apply in high-cost cities like Brussels.

Self-employed expats claim this benefit as a deduction rather than an exclusion, though the overall effect on taxable income is the same.

Foreign Tax Credit (FTC)

The Foreign Tax Credit (FTC) allows US expats to reduce their IRS bill by applying a dollar-for-dollar credit for income taxes already paid to Belgium. You can apply the Foreign Tax Credit to both earned income (like wages) and passive income (like dividends or interest). If the Foreign Earned Income Exclusion (FEIE) doesn’t cover all of your earned income, you can often apply the FTC to the remainder. The FTC is especially useful if your Belgian taxes are higher than your US taxes, since you can carry forward any unused credits for up to ten years or back one year. You claim the FTC by filing IRS Form 1116.

US- Belgium Tax Treaty

The US–Belgium tax treaty is designed to prevent double taxation and establish which country has the right to tax specific types of income, such as salaries, pensions, dividends, and business profits. In practice, the treaty can help reduce or even eliminate taxes on certain sources of income.

However, like most US tax treaties, the Savings Clause allows the IRS to continue taxing US citizens and Green Card holders as if the treaty did not exist, limiting some of the treaty’s benefits. Still, the agreement is valuable for clarifying taxing rights and for supporting the use of foreign tax credits (FTC) to offset US tax liability on income already taxed in Belgium.

Totalization Agreement Between the US and Belgium

The US and Belgium also have a totalization agreement, which prevents expats from paying into both the US and Belgian Social Security systems at the same time. Under this agreement, US employees sent to Belgium for five years or less remain covered under the US system and are exempt from Belgian Social Security contributions. The reverse also applies to Belgian workers temporarily assigned to the US.

Another important feature is that Social Security credits earned in both countries can be combined to help individuals qualify for benefits. This coordination ensures that time worked in both the US and Belgium counts toward benefit eligibility, rather than being lost.

Child Tax Credit (CTC)

For the 2025 tax year, the Child Tax Credit (CTC) allows US taxpayers to reduce their federal tax bill by up to $2,200 per qualifying child under age 17. Up to $1,700 of this amount may be refundable through the Additional Child Tax Credit (ACTC). It’s important to note that if you claim the Foreign Earned Income Exclusion (FEIE), you cannot use that excluded income to qualify for the refundable portion of the ACTC.

Self-Employment Tax

If you are self-employed and earn $400 or more annually, you must file a US tax return, no matter where you live. Normally, self-employed Americans owe 15.3% in US self-employment tax on their net earnings. Thanks to the US–Belgium totalization agreement, however, you won’t have to pay into both systems at once. Instead, the agreement determines which country’s Social Security system you contribute to, in many cases, Belgium. However, shorter assignments (generally five years or less) may mean continuing to pay into the US system. While the FEIE and FTC can lower your US income tax liability, neither reduces self-employment tax.

FBAR & FATCA: Reporting Foreign Financial Accounts and Assets

As a US expat in Belgium, you’re not only responsible for filing your US tax return, but you may also need to report foreign financial assets if they exceed certain thresholds. These additional requirements fall under the Foreign Bank Account Report (FBAR) and the Foreign Account Tax Compliance Act (FATCA), which are designed to ensure overseas assets are disclosed to the IRS.

• FBAR (FinCEN Form 114): If the total value of your foreign bank accounts combined exceeds $10,000 at any point during the year, you must file an FBAR. This form is submitted separately from your tax return.
• FATCA (IRS Form 8938): Expats must also report foreign assets on Form 8938 if their value exceeds $200,000 at year-end or $300,000 at any point during the year. Thresholds are different for Americans living in the US and for those filing jointly.

Investing in Belgium as a US Expat

When it comes to investing while living abroad, US expats need to be especially cautious with foreign mutual funds, ETFs, and other pooled investments. The IRS generally classifies these as Passive Foreign Investment Companies (PFICs), which come with punitive tax treatment and complex reporting requirements. Each PFIC must be reported annually on Form 8621, and income is often taxed at the highest ordinary rates, sometimes with interest charges added. This treatment can quickly erode or even wipe any investment gains, leaving US expats with little benefit.

Because of this, it’s recommended you choose to stick with US-domiciled mutual funds and ETFs. These remain under familiar US tax rules and don’t trigger PFIC reporting, making compliance far simpler and more tax-efficient on the US tax side, however of course review local tax reporting rules as well.

Retirement Accounts (IRAs and Roth IRAs)

As a US expat in Belgium, you may still be able to contribute to traditional or Roth IRAs, up to $7,000 per year for 2025 (or $8,000 if you’re age 50 or older), provided you have qualifying earned income and meet the adjusted gross income limits for your filing status. These accounts offer important tax advantages and can help you keep your retirement savings on track while living abroad.

Note: Belgium does not recognize the tax-deferred nature of US retirement accounts, meaning that contributions, and in some cases investment growth may be taxable locally, even if they are tax-advantaged in the US.

Visas for US Citizens in Belgium

Before you can qualify for a Belgian residency card, most Americans will need a long-stay visa (D visa). This visa acts as both a work and residence permit, allowing you to legally enter Belgium to live, work, study, or join family. Once you’ve lived in Belgium for several years under a D visa, you may then become eligible for a long-term residency card (Type B, K, or L).

Card	Who It’s For	Key Features	Requirements
Type B	Non-EU nationals legally residing & working in Belgium for 5 years	Permanent residency (renewable), can leave Belgium up to 1 year	5 years of continuous legal residence & employment in Belgium
Type K	Holders of a Type B card seeking stronger rights	Long-term residency, more social benefits, registered in local residents’ register	Must already hold a Type B card + show integration (language, community ties)
Type L	Non-EU nationals wanting flexibility in EU	Residency in Belgium + right to live in other EU states for up to 6 years	5 years of residence in Belgium + minimum monthly income & health insurance

Healthcare in Belgium

Belgium operates a universal, publicly funded healthcare system through its social security model. All residents, including expats are required to enroll in a mutuelle (health insurance fund). This works somewhat like an HMO or PPO in the US, but enrollment is mandatory. The system is financed through a mix of employee and employer social security contributions, along with small co-payments from patients at the point of care.

As a US expat in Belgium, you have several options:

• Public health insurance – Once registered as a resident, you’ll join a mutuelle. This covers most medical costs, including doctor visits, hospital stays, and prescriptions. You’ll typically pay only a modest co-payment when receiving care.
• Supplemental insurance – Many Belgians and expats purchase additional private coverage for services not fully reimbursed by the public system, such as dental care, private hospital rooms, or extra physiotherapy.
• Private healthcare – You can choose private doctors or clinics, but most providers also participate in the public system, so much of your cost will still be reimbursed through your mutuelle.

Cost of Living in Belgium

For US expats, everyday expenses in Belgium can look quite different from what you’re used to back home. Housing is generally much less expensive than in major US cities, with rents for a one-bedroom apartment in Brussels ranging from about $1,100 to $1,700 per month, and even lower in smaller towns. Groceries like bread, produce, and dairy are reasonably priced, though familiar American brands and other imports tend to cost more.

Getting around is also more affordable. A monthly public transport pass is typically $55–$65, and many residents rely on trains, trams, or bicycles rather than cars. Phone plans are another budget-friendly category, with SIM-only options starting around $20 per month.

On the flip side, utilities and internet can feel pricey, particularly in older housing, and Belgium’s relatively high income taxes and Social Security contributions take a noticeable share of earnings. That said, these costs support reliable healthcare, strong infrastructure, and extensive public services.

Simplify Your US Expat Tax Filing with MyExpatTaxes

We know expat taxes can feel overwhelming, especially when balancing two systems at once. Whether you’re working in Belgium’s international business hub or enjoying a slower pace in the countryside, staying compliant doesn’t have to be stressful. With MyExpatTaxes, you can file confidently, avoid overpaying, and focus on making the most of your life abroad.

Frequently Asked Questions