Social security update for 2016

Since 2015, social security contributions for self-employed individuals are no longer calculated on the income of the 3rd preceding year, but on the income of the current year.

Since last year, Belgian legislation provides that a self-employed person (e.g. company director) is no longer required to affiliate with a Belgian social insurance fund and pay Belgian social security contributions, if it can be demonstrated that he/she does not physically exercise the self-employed activity (director’s mandate) in Belgium or can provide proof that the mandate is executed on a non-remunerated basis.

In a new bill, the definition of ‘seconded’ self-employed persons, for whom the mandatory Limosa declaration applies (www.limosa.be), will only be limited to self-employed persons temporarily performing working activities in a ‘risk sector’ on Belgian territory. What can be considered as a ‘risk sector’ is not yet stipulated. The date of entry should normally be on 1 January 2017.