Minimum renumeration for a company manager
What is the minimum remuneration to be paid to a company manager in order for his or her SME to qualify for the new reduced corporate tax rate of 20%? In practice, this remuneration now increases from 36,000 euros to 45,000 euros. But beware, the rule has changed: remuneration of less than 45,000 € is always "accepted" if it is at least equal to the result of the taxable period. The new law speaks of "result", the old text refers to taxable result: in fact it is the tax result after deduction of previous losses, deduction of RDT, etc. Whew! Attention: there is a new sanction (which would have doubted it) for all companies that do not grant this minimum remuneration. This is a separate contribution of 5%, applicable on the difference between the minimum remuneration required (which may be nil in the event of a zero or negative result) and the remuneration actually awarded.
This 5% contribution will later increase to 10%. It is clear that these new rules will penalise many Belgian companies, which pay their managers a smaller amount. Exit for them from the benefit of the reduced corporate tax rate! As of last year, more than half of Belgian SMEs already no longer benefit from the reduced rates.
When we also know that the first action taken by a manager of a small company in difficulty is to... reduce his or her salary, we can see the real financial difficulties that these new rules will cause.
Let's end by giving the floor to new entrepreneurs, owners of "start-ups", when asked if they feel lured by the new reduced corporate tax rate. That's nay! The responses received most often are the need for legal certainty, and the hope that the growing complexity of tax regulations will stop. Are we going in the right direction? It's up to you to judge!