The Belgian government has made the use of bicycles for commuting very attractive by means of an appealing tax deduction. Below is a brief summary of this interesting scheme and how it can help with the purchase of a folding bicycle.
In order to help the environment, the Belgian government has taken a number of measures to encourage the use of bicycles.
A tax advantage when using a bicycle for commuting can benefit both the employee and the employer through the so-called bicycle allowance (“fietsvergoeding”). A bicycle allowance is a mileage allowance from the employer to the employee/staff who make all or part of their home-work trips by bicycle. This bicycle allowance covers the costs for the cyclist, and is mainly intended to encourage more employees to use their bicycle.
Every year these figures can be determined differently. The most up-to-date information such as on the site of the FOD (Belgian Financial Ministery of Finance):
The mileage allowance is exempt from tax up to 0.24 euros per kilometre travelled for assessment year 2020, income 2019. In other words, as long as the amount of the mileage allowance does not exceed 0.24 euros per km travelled for assessment year 2020, income 2019 does not have to be taxed. If the employer grants a higher mileage allowance, the remaining amount is taxable as professional income.
A calculation example: 960 euro deduction per year!
If you cycle 20 km a day to and from work, possibly supplemented by public transport, the exempted amount for 200 days of travel already amounts to: 200*20*0.24 = 960 euros. Repeat this over several years, and a STRIDA folding bike will quickly pay for itself!
Can use this also with a folding bike?
Definitely! – FOD says about this:
Any vehicle with 2 or more wheels: a pedal or handlebars powered with muscle power (…) cargo bikes, adapted bikes for the disabled (3 wheels, handlebars driven,…), foldable bikes, (…)
In addition, the granting of a bicycle allowance is not linked to the type of bicycle. The only condition for receiving an exempt bicycle allowance is the use of the bicycle for commuting to and from work.
So take a look at our folding bike models and make use of this lucrative deduction!
The STRIDA Series
Check out the LT, SX, EVO 3S series and Special Editions. Many models available.
No claim can be made regarding this information and always look only at the information from the government to be sure. For the most up-to-date information from the FPS Finance, please visit financien.belgium.be: