The tax authorities clarify certain practical aspects of the tax reduction for electric car charging points
September 2023 - Mobility and sustainability are increasingly going hand in hand. On the tax front too, we can see that the two issues are very closely coordinated, not least through the law organising the "fiscal and social greening of mobility" published by the federal government two years ago.
The increasing greening of the (company) car fleet is obviously also accompanied by a substantial increase in the number of charging points installed for electric cars. In a new circular, the tax authorities go into more detail on a number of practical issues relating to the tax reduction for fixed charging points for electric cars (circular 2023/C/57, 8 June 2023).
Companies
Companies that invest in charging points can deduct the full cost of the charging points, regardless of the percentage deduction for cars that use the charging points. But what if the charging points are new, fixed, accessible to the public and intelligent? In that case, the company may even be able to claim an increased deduction for depreciation. For information: an intelligent charging point means that charging time and capacity can be transmitted by an energy management system.
Increased rate of expense allowance Period of investment in a charging point
200% From 1 September 2021 to 31 March 2023 inclusive
150% From 1 April 2023 to 31 August 2024 inclusive
Individuals
Is one of your employees having a charging point installed at his or her home as a private individual? If so, he or she may qualify for a one-off reduction in personal income tax. The conditions are that it must be a new, fixed, intelligent charging point. The charging point must also be installed in or near the home, use green energy and have been approved by an accredited body.
Declaration formalities (for personal income tax)
The new circular also sets out the formalities for filing tax returns and the supporting documents that must be attached to the return and kept available for the tax authorities. Specifically, these documents are as follows:
To be attached to the return (new from the 2023 tax year):
● the invoice for the installation of the charging point (stating the address where the charging point was installed) ;
● the inspection certificate for the fixed charging point (RGIE certificate).
To be made available to the tax authorities:
● proof of payment of expenditure relating to the installation of the fixed charging point (one-way or two-way);
● supporting documents proving that the charging point is a smart charging point that uses only green electricity;
● invoices relating to expenditure that qualify for the tax reduction (e.g. inspection costs). It should be noted that the invoice for the installation of the charging point must be attached to the return.
