The 2025-2028 reform calendar
Since July 2025, Belgian car taxation has been changing deeply. For companies and self-employed professionals, thermal and hybrid vehicles are gradually losing their tax advantages until deductibility is fully removed in 2028. Here is the full timeline.
Why this reform?
Belgium is aligning its tax system with the European Green Deal: end of new thermal vehicles by 2035. For companies, the deductibility phase-out arrives as early as 2028. The goal is to accelerate fleet electrification.
European Green Deal
Objective: zero-emission new vehicles by 2035.
Technological neutrality
Belgium favours EVs through taxation without banning other powertrains.
Gradual transition
Vehicles already in fleet are not affected retroactively.
Calendar of changes
Wallonia VRT scale reform
Wallonia moves to a calculation based on real WLTP emissions rather than a flat power-based scale. High-emission vehicles are most affected.
Flanders EV flat-rate VRT
Flanders introduces a flat VRT amount for fully electric vehicles, regardless of power. This creates a strong advantage versus thermal vehicles.
End of enhanced PHEV deductibility
Plug-in hybrids acquired from 2026 no longer benefit from enhanced deductibility. They progressively align with thermal vehicles.
Reduction in thermal deductibility
New diesel and petrol acquisitions see deductibility reduced further. Vehicles already in fleet keep their acquisition-date rate.
0% deductibility for new thermal acquisitions
For companies, newly acquired thermal vehicles, including diesel, petrol and PHEV, will no longer be deductible from 1 January 2028.
Impact by fuel type
- →100% deductibility maintained
- →Reduced VRT (Flanders flat rate)
- →Among the lowest BIK values
- →Lower CO₂ contribution
- →50% deductibility in 2026 (acq. before 2026)
- →Reduced in 2027
- →0% in 2028 (new acquisitions)
- →Still viable in 2026
- →50% deductibility in 2026
- →Progressive reduction
- →0% in 2028 (new acquisitions)
- →Rising CO₂ contribution
Frequently asked questions
Is my car bought before 2026 affected by the reform?
Not for deductibility: the applicable rate is the one in force on the acquisition date. For VRT, if it was paid before the reforms, it does not change retroactively.
Can a company still buy a PHEV in 2026?
Technically yes, but with no deductibility (0%). PHEVs acquired from 1 January 2026 are no longer deductible, compared with 100% for an EV. It is no longer a tax-efficient choice.
Does the 2028 reform also affect self-employed individuals?
The deductibility reform mainly targets companies and self-employed professionals who deduct their business car costs. VRT and annual road tax still apply to everyone.
Does the reform affect existing leasing contracts?
In principle, no: lease payments remain deductible at the rate applicable when the contract was signed. Watch out for purchase options exercised from 2028 onward.
What is the deadline to buy a diesel or PHEV for a company?
To benefit from the 2026 rules, the vehicle must be acquired before 31 December 2026. Rates will worsen in 2027, and thermal deductibility falls to 0% in 2028.
Calculate the reform's impact on your vehicle
Updated rates · Walloon reform 2025 + Flanders EV flat rate 2026 included